US Tax Tools

Refinance Tax Impact Calculator

Refinancing changes your mortgage interest deduction and points must be amortized over the loan term. See the true after-tax break-even before you refi.

Current Loan
New Refinance Loan

Current Pmt

$2,026

New Pmt

$1,703

Monthly Savings

$323

Break-Even

12 mo
Tax Impact Details
ItemCurrentNew
Y1 Interest$19,354$16,399
Points Deduction Y1$0$0
Total Tax Deduction Y1$19,354$16,399
Total Closing Costs$3,000

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Last updated May 8, 2026 Tax year 2025–2026

Data sources: IRS Pub 936 — Home Mortgage Interest Deduction, IRS Rev. Proc. 2025-38, TCJA §11043

This tool is general information only, not financial advice.

Reviewed by USTax Tools Editorial Desk

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