Refinance Savings + Equity

Does Refinancing Actually Make Sense?

The honest math on penalty, savings, equity access, and break-even — so you know if breaking your mortgage is worth it before you sign anything.

Your Current Mortgage

Pull these from your most recent mortgage statement. All inputs update results live.

Current Mortgage

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Variable mortgages typically have a 3-month interest penalty only. Fixed is the greater of 3MI or IRD.

New Mortgage Terms

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Used to estimate IRD penalty. Find it on your lender's website (posted rate for term matching your time left).
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Typically $1,200–$2,000 for an Ontario refinance.

Debt Consolidation (Optional)

Roll high-interest debt into the new mortgage and see the cash flow impact.

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Total you're paying on the debts above each month.

Equity Cash-Out (Optional)

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For renos, investment, business, education. Subject to 80% LTV limit on refinances.

Send Your Refinance Numbers to Kat

Want me to pull your real penalty from the lender and confirm the math? Send this scenario and I'll get back to you within one business day.

Or Book a Call Directly

How this calculator works

Penalty estimate: For variable mortgages, lenders typically charge 3 months' interest. For fixed mortgages, it's the greater of 3 months' interest or the Interest Rate Differential (IRD) — the difference between your current rate and the lender's current posted rate for a term matching your remaining time, multiplied by your balance and time remaining. Big-6 banks calculate IRD using posted rates, which is why their penalties are much higher than monolines.

Equity available: Refinances are capped at 80% loan-to-value (LTV). Equity available = (home value × 80%) − current balance.

Break-even: The total cost of refinancing (penalty + legal + appraisal) divided by the monthly cash flow improvement. If you'll stay in the home (or keep this mortgage) longer than the break-even, refinancing makes sense.

Debt consolidation: Rolling 19.99% credit card debt into a 4.29% mortgage can save hundreds per month — but only if you don't run the cards back up. The math here assumes the consolidated debt is paid off entirely.

Estimates Won't Cut It at Closing

Let's get your real penalty quote.

I'll pull the discharge statement from your lender, run the numbers against current market rates, and tell you straight whether refinancing makes sense.