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RealCostIQ

Points Break-Even Calculator

Educational calculators — always consult a licensed professional before making financial decisions.

Home price minus down payment.

$
$1K$10M

The baseline rate your lender is offering.

%
0.1%20%

Each point typically reduces your rate by 0.25%. Your lender will quote this.

%
0.1%20%

1 point = 1% of loan amount. Ask your lender for the exact cost.

$
$100$100K

Break-even point

61 months (5.1 yrs)

Stay longer and points save you money

Monthly savings$125
30-year net savings$37,381
Payment w/o points$2,465 at 6.75%
Payment w/ points$2,340 at 6.25%

Without Points vs. With Points

Without PointsWith Points

30-Year Interest Comparison

Total interest without points$507,282
Total interest with points$462,301
Points cost–$7,600
Net 30-yr advantage+$37,381
Free

Email me the detailed report

A full PDF breakdown of these numbers — yours to keep or hand to a contractor.

Analysis assumes you keep the loan for the full term. If you refinance or sell before break-even, points cost money. Consult a licensed mortgage professional.

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Cost ranges and rates here are checked against contractor quotes and published industry data. If a number still looks off, email Support@RealCostIQ.com and we'll review and fix it.