Why 0.25% Matters

On a $400,000 loan, each 0.25% rate increase adds roughly $55-65/month. Over 30 years that compounds to $20,000+ in extra interest. Rate changes don't just affect your payment — they shift how much home you can afford.

Rate Locks & Timing

Most lenders offer 30-60 day rate locks. If rates drop before closing, many will let you float down. If rates rise, you're protected. Understanding the dollar impact of each move helps you decide when to lock.

$438,964
20% ($87,793)
6.370%
Not set
Monthly PITI
$2,706
at 6.370% on $351,171 loan
Monthly P&I
$2,190
principal + interest only
Total Paid (30yr)
$1,061,775
PITI + down payment
Total Interest
$437,122
124% of loan
Cost per +0.25%
$58/mo
$20,880 over 30 years

Rate Comparison

Rate Monthly PITI vs. Current
5.370% $2,481 $-224
5.870% $2,592 $-114
6.370% $2,706
6.870% $2,822 +$116
7.370% $2,940 +$235
Current mortgage rate sourced from FRED (Freddie Mac Primary Mortgage Market Survey). Median home price from Redfin. This calculator is for educational purposes only and does not constitute financial advice.