Mortgage Points Calculator

Not sure if you should pay discount points on your mortgage loan?
Fill in the following boxes to find out.

Should I pay discount points?
Original Interest Rate: %
Interest Rate with Discount Points: %
Discount Points:
Total Home Mortgage Amount: $
Term of the Loan: years

Mortgage Points Calculator Definitions:

Original Interest Rate: The annual interest rate given BEFORE any discount points are applied.

Interest Rate With Discount Points: The annual interest rate given WITH discount points applied.

Discount Points: The number of discount points required to receive the "Interest Rate With Discount Points" percentage rate

Total Home Mortgage Amount: The total dollar amount borrowed for this loan, or principal amount.

Term of the Loan: Total number of years in which this mortgage will be paid.  Typically 15, 20 or 30 years.

Original Rate - Monthly Payment: This is your monthly mortgage payment rate BEFORE any discount points are applied.

With Discount Points - Monthly Payment: This is your monthly mortgage payment AFTER discount points are applied.

Monthly Payment Savings: This is the monthly dollar amount you will save on mortgage payments using discount points vs. no discount points.

Recoup time of cost of Discount Points: This is how long in months it will take to recoup the cost of the discount points paid initially.

*Please note this calculator is to be used as a point of reference only, calculations should be confirmed with your mortgage broker before signing any agreements.  Calculations do not include property taxes, mortgage insurance, or other costs associated with your mortgage.

MBS RECAP: Bond Markets Hold Narrow Range Overall; Some Month-End Volatility Around Treasury Close - Posted To: MBS CommentaryOvernight trading was uneventful for bond markets and made for a just slightly weaker open for both Treasuries and MBS. Economic data was completely and utterly ignored. It wa...

Mortgage Rates Unchanged Near 2014 Lows Ahead of 3-Day Weekend - Posted To: Mortgage Rate WatchMortgage rates barely budged today. A few lenders were a bit higher than yesterday. A few more were a bit lower, but most hadn't moved enough to be considered anything mo...

New Credit Score Model Would be Great for Housing! Too Bad it Won't be Used - Posted To: MND NewsWireFICO, the company that develops proprietary scoring models for credit bureaus and lenders, announced August 7 that a new model (FICO Score 9) would be released this fall. FICO's...

Housing Market Entering Dicey Transition Phase - Posted To: MND NewsWireRealtyTrac estimated that home sales in July were at an annualized rate of 4.63 million units , a decrease of 3 percent from June and down 12 percent from July 2013. This would ...