15-Year vs 30-Year Refinance Calculator
Shorter term = lower rate and far less interest, but higher monthly payment. Find out which term actually costs you less given your stay horizon.
About this tool
Choosing between a 15-year and 30-year refinance is not just about the rate — it is about cash flow vs total interest. This calculator helps you compare both terms against your current loan so you can make the right call.
How to use it
Quick steps to get the most out of this utility.
- 1
Enter current mortgage
Existing balance, rate, and years remaining.
- 2
Model the 15-year scenario
Enter 15-year term with the lower available rate and closing costs.
- 3
Note the monthly payment jump
15-year payments are typically 30–45% higher than 30-year. Confirm your budget can handle it.
- 4
Compare to 30-year
Model the 30-year scenario and compare total interest and stay-horizon savings.
The Lifetime Interest Gap Between 15 and 30 Years
On a $280,000 balance at 5.5%, a 30-year term costs about $293,000 in total interest. The same balance at 5.0% on a 15-year term costs about $119,000 — a $174,000 lifetime difference. That enormous gap is why financial planners almost universally recommend 15-year mortgages for borrowers who can afford the payment.
The catch: the 15-year P&I payment is about $2,215/month vs $1,590/month for 30-year — a $625/month difference. If that gap represents money that would otherwise go into investments earning more than 5%, a 30-year with investing the difference can sometimes produce a better net outcome. This is a close call that depends on your investment discipline and actual returns.
Frequently asked questions
How much lower is the 15-year rate vs 30-year?+
Typically 0.5–0.75% lower. On $280,000, that saves about $160/month in interest cost — but the higher required payment on a 15-year often swamps that savings for cash-flow-constrained borrowers.
Who should choose a 15-year refi?+
Borrowers who can comfortably afford the higher payment, have stable income, are within 10–15 years of retirement, and prioritize debt-free homeownership over liquidity. If the higher payment creates financial stress, a 30-year with voluntary extra payments gives more flexibility.
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More views of the same calculator
Open main calculator →Same underlying engine, written for different use cases. Pick the angle that matches your situation.