What Will Refinancing Actually Cost You?

Refinancing your mortgage isn’t free — even though it can save you money in the long run. Just like your original home loan, refinancing comes with fees and closing costs that you need to plan for.Signs It Might Be the Right Time to Refinance:

Common Refinancing Costs Include:

• Application Fee: Covers processing your request, usually $75–$500.

• Appraisal Fee: A new home appraisal may be required ($300–$600).

• Title Search and Insurance: Verifying ownership and protecting against title issues (can be $400–$900).

• Loan Origination Fee: Charged by the lender for creating the loan, typically 0.5%–1% of the loan amount.

• Prepayment Penalties: Some loans penalize early payoff — double-check your existing mortgage terms.

Total refinance costs can range from 2% to 6% of your loan amount. However, many lenders offer no-closing-cost options where fees are rolled into the loan — just be mindful of slightly higher rates.

Need help running the numbers? Take our quick quiz to get matched with a refinance expert who can break it all down for you — and help you avoid unnecessary fees.