Payoff Logic

Mortgage Payoff Calculator

For the mortgage you already have: enter your current balance, rate, and P&I payment, add an extra monthly amount and/or a lump sum, and get your new payoff date, the years removed, and the interest saved. Free, no signup.

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Principal + interest only — leave out escrow (taxes/insurance). It's on your statement as the "P&I" amount.

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Current pace

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Paid off —

Remaining interest: —

Accelerated plan

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Paid off —

Remaining interest: —

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Balance over time

Solid: accelerated · Dashed: current pace.

Before sending extras: confirm your servicer applies them to principal, check for prepayment penalties (rare on modern loans), and weigh higher-rate debts and your emergency fund first.

Payoff schedule (accelerated plan)

Make every extra dollar count

  • Mark payments "principal only." Otherwise some servicers treat extras as an early next payment — zero savings.
  • Confirm no prepayment penalty. Rare on post-2014 loans, but 30 seconds with your closing disclosure settles it.
  • Don't starve your safety net. Home equity is illiquid — you can't easily un-pay the mortgage in an emergency. Emergency fund first, then acceleration.
  • Compare against your other rates. Extra dollars earn your mortgage rate here; a credit card charging 22% is a far better target — sequence it with the debt snowball calculator.

Frequently asked questions

How can I pay off my mortgage early?

Four proven routes: a recurring monthly extra (steadiest), one-time lump sums from bonuses or windfalls, biweekly payments (one extra payment a year), or refinancing into a shorter term. This calculator models the first two together; our biweekly and refinance calculators cover the rest.

Should I pay off my mortgage early?

The honest checklist: pay off higher-interest debt first, keep 3–6 months of expenses in an emergency fund, and capture any employer retirement match — those beat mortgage prepayment mathematically. After that, extra mortgage payments are a guaranteed, tax-free return equal to your rate, which many people rightly value for the certainty and the psychological weight lifted.

What happens if I make a $20,000 lump-sum payment?

It immediately cuts the balance that all future interest is computed on. On a $240,000 balance at 6.75% with a $1,700 payment, a $20,000 lump sum today removes roughly 3½ years and around $50,000 of interest. Enter your own numbers above for the exact effect.

Where do I find my monthly P&I amount?

On your mortgage statement, listed as "principal & interest" — it excludes the escrow portion (taxes and insurance). Using your full payment including escrow would overstate how fast you can pay off, since escrow never touches the balance.

Is it better to recast or prepay?

They answer different goals. Prepaying (this calculator) keeps your payment the same and ends the loan sooner. Recasting applies a lump sum and re-amortizes to LOWER the required payment while keeping the original end date — useful for cash-flow relief. Many servicers offer recasting for a small fee after a $5,000+ principal payment.

Will paying off my mortgage early hurt my credit?

Closing your oldest installment account can trim a few points temporarily, but the effect is minor and fades. It is not a financially meaningful reason to keep a mortgage.

Are there tax downsides to paying off a mortgage?

Only if you itemize deductions and deduct mortgage interest — a minority of filers since the standard deduction doubled. Even then, a deduction returns cents on each interest dollar; avoiding the dollar outright is usually better. Confirm your situation with a tax professional.

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Disclaimer: Educational purposes only — not financial advice. See our Terms of Use.