Mortgage Points Calculator
Should you buy down your rate?
ADVERTISEMENT
Your Results
Points cost$3,000.00
Reduced rate6.25%
Monthly savings$49.05
Break-even61 months
One point = 1% of the loan, typically cutting the rate by ~0.25%. Points pay off if you stay past break-even.
Frequently Asked Questions
Should I buy mortgage points?
Buy points if you'll stay in the home past the break-even point — usually 4-8 years. If you might move sooner, skip them or negotiate a lender credit instead.
Are points tax deductible?
Points on a purchase mortgage are generally deductible in the year paid as mortgage interest. Refinance points must be amortized over the loan term.
Related Calculators
ADVERTISEMENT