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Remortgage True-Cost & Break-Even Calculator

Compare a current mortgage with a new deal using payments, product fees, ERCs, cashback, remaining balance and the month switching may break even.

Last reviewed: 4 August 2026Source: MoneyHelper — remortgaging to cut costs
Remortgage True-Cost & Break-Even Calculator · UKProperty & Land

Results update when you select Calculate.

Example result based on the prefilled values.

Estimated Saving Over Deal Period

£8,105.84

Current Monthly Payment

£1,375.77

New Monthly Payment

£1,265.30

Switching Break-even

10 months

New Balance at Comparison End

£165,399.98

New Interest + Switching Costs

£42,816.91

Continue your plan

Useful next calculations

Related to this calculation

Rates & sources

Illustrative comparison using the rates, remaining term, deal period, fees, cashback and early repayment charge entered. Product fees added to the mortgage increase the balance and accrue interest.

Interest ratesentered by you
Comparison periodentered by you
Fees and cashbackentered by you
Binding comparisonlender ESIS / illustration

Source: MoneyHelper — remortgaging to cut costs — check the linked guidance and any live quote before acting.

When to use this calculator

  • Before buying, renting, refinancing, or reviewing a property investment.
  • When you want to compare cash flow, yield, growth, and ownership costs side by side.
  • When you need a fast estimate before speaking to an agent, lender, or adviser.
  • When you are assessing whether a rental property still makes financial sense after a mortgage rate change.
  • When you want to compare the total cost of renting against owning over a five- or ten-year horizon.

A realistic UK planning example

Use these sample inputs as a quick scenario test, then change one variable at a time to compare outcomes.

Mortgage balance (£)

£200,000

Remaining mortgage term (years)

£200,000

Compare costs over (years)

25 years

Current mortgage rate (%)

£200,000

After entering these figures, review estimated saving over deal period, current monthly payment and new monthly payment together rather than in isolation — each metric tells a different part of the story. Then rerun the tool with one input adjusted to see which variable has the biggest effect on all three outputs before you settle on a plan.

How to read your results

Estimated Saving Over Deal Period

Use this metric to compare scenarios side by side and understand how changes in the key inputs drive the final outcome. If the figure surprises you, isolate one variable at a time and rerun the calculation to identify which assumption is responsible.

Current Monthly Payment

Use this to check whether the scenario fits comfortably within your regular budget. If it looks tight, rerun the tool with a longer term or larger deposit to find the boundary of affordability.

New Monthly Payment

Use this to check whether the scenario fits comfortably within your regular budget. If it looks tight, rerun the tool with a longer term or larger deposit to find the boundary of affordability.

Switching Break-even

Use this metric to compare scenarios side by side and understand how changes in the key inputs drive the final outcome. If the figure surprises you, isolate one variable at a time and rerun the calculation to identify which assumption is responsible.

New Balance at Comparison End

Use this metric to compare scenarios side by side and understand how changes in the key inputs drive the final outcome. If the figure surprises you, isolate one variable at a time and rerun the calculation to identify which assumption is responsible.

New Interest + Switching Costs

Use this metric to compare scenarios side by side and understand how changes in the key inputs drive the final outcome. If the figure surprises you, isolate one variable at a time and rerun the calculation to identify which assumption is responsible.

Method & assumptionsAuthoritative sources

This UK remortgage comparison estimates the cost of staying on the current mortgage against moving to a new deal for the period you choose. It calculates the payment and interest for each option, then adds the new product fee, legal and valuation costs, current-lender exit charges or ERCs, and subtracts genuine cashback.

If you add the product fee to the mortgage, the tool increases the new opening balance and charges interest on that larger balance. The fee itself also remains a cost. The break-even month is the first month when the estimated cumulative interest saving has recovered the net switching costs.

Rates are held constant for the comparison and every fee is user-entered. The result does not model future product changes, lender underwriting, affordability, porting, repayment-charge bands, tax, offset balances or product-specific conditions. Confirm the figures in the lender's personalised illustration and seek regulated advice where appropriate.

Common mistakes

  • !Comparing rent and ownership costs without including taxes, fees, and maintenance.
  • !Using purchase price alone without testing the impact of financing or vacancy assumptions.
  • !Relying on yield or growth in isolation instead of reviewing the full property case.
  • !Forgetting Stamp Duty Land Tax (or its Scottish and Welsh equivalents), which can add thousands to the true cost of purchase.
  • !Using optimistic rental growth figures without also testing a flat or declining rent scenario to check downside resilience.

What to do next

  • Run a second scenario with a higher rate or lower rental yield to check downside resilience.
  • Compare the result with a buy-versus-rent or stamp duty calculator before making an offer.
  • Use the related guides below to understand agent fees, legal costs, and ongoing maintenance budgets.
  • If you are assessing a buy-to-let, check the gross yield against the net yield after mortgage interest, voids, and management fees.
  • Note down the key figures from this scenario to share with your solicitor or mortgage broker so they are working from the same assumptions.

Frequently asked

A mortgage rate and product fee normally apply for a limited deal period. Comparing costs over the period you expect to keep the deal avoids assuming that either rate will continue for the whole remaining mortgage term.

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