When does it make sense to refinance my mortgage?

Refinancing typically makes sense when you can reduce your interest rate by at least 0.5-1%, plan to stay in the home long enough to recoup closing costs (the break-even point), or need to switch from an adjustable-rate to a fixed-rate mortgage. Our calculator shows your exact break-even month based on your specific numbers.

What are typical refinance closing costs?

Refinance closing costs typically range from 2-5% of the loan amount. This includes appraisal fees, title insurance, origination fees, and recording fees. Some lenders offer no-closing-cost refinances, but these usually come with a higher interest rate. Factor in these costs when calculating whether refinancing saves you money.

Can I refinance with bad credit?

FHA Streamline refinances may be available with lower credit score requirements if you already have an FHA loan. Conventional refinancing typically requires a minimum score of 620-680. The lower your credit score, the higher your interest rate, which may reduce or eliminate the savings from refinancing.

What is the current mortgage refinance rate in New York?

The average 30-year mortgage rate in New York is currently around 6.95%. Refinance rates typically run 0.1%–0.2% higher than purchase rates. Actual rates depend on your credit score, LTV, and lender. On the New York median loan of $356,000, that is a monthly payment of $2,357.

How much can I save refinancing in New York?

Dropping 1% on a $356,000 loan in New York saves $234/month. Closing costs of about $8,900 (2.5% of loan) means you break even in 39 months. Over 30 years, you save $75,183 in total interest.

When does refinancing make sense in New York?

Refinancing makes sense in New York when you can lower your rate by at least 0.75%–1%, you plan to stay in the home past the break-even date (typically 39 months for a 1% rate drop), and your remaining loan balance justifies the closing costs. Property taxes in New York average 1.72% of assessed value — factor that into the total housing cost calculation.

Not Financial Advice. CalcMoney provides calculators for educational and planning purposes only. Results are estimates and do not constitute financial, tax, or investment advice. Consult a qualified professional before making financial decisions. Terms apply.

CALCMONEY // MORTGAGE REFINANCE // NY

New York Mortgage Refinance 2026

New York average rate: 6.95%. On the median loan of $356,000, a 1% rate drop saves $234/month and breaks even in 39 months.

Calculate Your Refinance

Avg 30yr Rate

6.95%

Median Home Price

$445,000

Monthly Payment (80% LTV)

$2,357

Estimated Closing Costs

$8,900

Refinance Scenarios for New York Homeowners

BASED ON NY MEDIAN LOAN: $356,000 — CLOSING COSTS: $8,900

New Rate	New Monthly	Monthly Savings	Break-Even	30yr Savings
6.45% (save 0.5%)	$2,238	$118/mo	6yr 4mo	$33,604
5.95% (save 1.0%)	$2,123	$234/mo	3yr 3mo	$75,183
5.45% (save 1.5%)	$2,010	$346/mo	2yr 2mo	$115,789

Refinancing in New York: Key Factors

NY MARKET CONTEXT

The median home price in New York is $445,000. At 80% LTV, the typical loan is $356,000 at the current 6.95% average rate, producing a monthly P+I payment of $2,357. Total interest over 30 years at this rate: $492,352.

Property taxes in New York average 1.72% of assessed value, or $7,654 per year on the median home. This adds $638/month to your all-in housing cost. When evaluating a refinance, factor in property tax and insurance for a complete picture.

New York residents can deduct mortgage interest on state income tax returns for primary residences, subject to state-specific limits. The federal mortgage interest deduction applies on loans up to $750,000.

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