Mortgage Discount Points Calculator
Our Mortgage Discount Points Calculator is based upon the discount points when they are first purchased against a fixed rate mortgage.
The discount points are originally purchased at a 1% rate of the original principal amount.
When a single discount point is bought, the annual interest rate is decreased by 0.25%.
While discount points reduce the monthly payments, close consideration is made to the cost of the discount points.
Our Mortgage Discount Points Calculator shows you the point of break even at which the amount you will be saving on monthly payments has either equaled or exceed the purchase cost of the discount points.
A table is also shown which displays a comparison of the payment schedules.
You are able to save your calculations by clicking on the "Add to table" button which appears below.