WebToolArcHow to use this Mortgage Points Calculator
Compare two fixed mortgage rates, point cost, monthly payment difference, break-even months, and estimated savings over a chosen stay period.
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Mortgage Points Calculator
Compare two fixed mortgage rates, point cost, monthly payment difference, break-even months, and estimated savings over a chosen stay period.
Mortgage discount points
Compare the exact lender quotes you were offered
Use the actual no-points rate, points rate and points charge from your Loan Estimate. The calculator does not assume every point buys the same rate reduction.
Principal before discount points.
1 point = 1% of the loan amount.
Your decision horizon, not necessarily the full term.
Same loan amount, fixed-rate amortization and points paid in cash at closing. Property tax, insurance, PMI, other lender fees, tax deductions, refinance costs and the opportunity cost of cash are intentionally excluded.
Hold-period savings & amortization depth
—Extra equity / lower balance at your horizon
—Interest saved through your horizon
—Lifetime interest saved before point cost
| Period | Payment savings | Balance advantage | Net cash | Cash + balance |
|---|
“Balance advantage” is the difference in remaining principal between the two same-size loans. It is included only in the equity-adjusted comparison; the conventional payment-only break-even remains shown separately.
Rate efficiency & points-only effective APR
—Quoted rate reduction
—Rate reduction per point
—Approx. point cost per 0.125% bought
—Points-only effective APR
The effective APR here treats only discount points as an upfront finance charge. It is not the official Truth in Lending APR because other lender charges and required fees are not included.
Compare up to three additional lender quotes
| Quote | Rate | Points | Upfront | Monthly P&I | Break-even | Value at horizon | Points-only APR |
|---|
Enter each lender’s actual rate and points. This avoids assuming a fixed rate reduction per point, which can vary by lender and market.
—Upfront points cost
—Monthly payment savings
—Break-even months
—Net savings over entered horizon
Compares payment savings with point cost only. Taxes, opportunity cost, closing-cost financing, refinance fees, and lender pricing rules are not modeled.
Mortgage Points Calculator: Break-Even & Hold Analysis
Compare payment, point cost, break-even, expected-hold savings and lifetime interest using the two lender-quoted rates you enter.
Core borrowing, saving & investing workflows
Start with the broad calculator that matches the decision, then move to a specialist only when the loan structure, cash flow, tax treatment, debt strategy or savings goal genuinely changes.
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