Refinancing a mortgage means replacing the existing mortgage with new terms - usually to lower the monthly payment, shorten the term, or reduce the total amount paid. The move doesn't always pay off, so it needs to be checked in numbers.
When to Look Into It
When market interest rates have fallen relative to when the mortgage was taken, when income or expenses have changed, when you want to consolidate expensive loans into the mortgage, or when the mix no longer fits.
How to Assess the Benefit
Compare the difference between the current and expected payment against the costs, including a possible early-repayment fee. If the savings over time exceed the costs, refinancing pays off. Evaluate across the entire remaining term, not just the first payment.
What to Watch For
Shortening the term raises the monthly payment but reduces the total amount; lowering the payment by extending the term may increase the total amount. Every decision is a balance.
How MKOR Guides You
We review the existing mortgage, calculate the benefit in numbers, and negotiate the new terms with the banks.
Want to check for yourself first? Try the refinance calculator →