Mortgage points as money paid today

A point is a fee at closing. In this calculator it shows up only through the gap between the note rate and the APR.

There is no points field

You do not type “1 point” as a count. You type the note rate the point bought, and the APR that reflects the charge. The dollar fee is estimated from that pair.

Paying the point does not increase the balance. The price minus the down payment is still the principal.

A point is worth comparing

Lenders often show a lower rate if you pay points and a higher rate if you do not. Enter them as offer A and offer B. Set the hold to how long you expect to keep the loan.

If break-even is later than you will stay, the points are the more expensive path even though the payment is lower.

One percent is not always the fee you will see

People say one point is one percent of the loan. The APR method can land near that, or not, depending on what else is inside the APR and on the term. Read the dollar estimate on your inputs.

For the exact charge, use the loan estimate’s named line. Use this screen to see whether that cash is earned back.

This explains how WiseCalculator treats the numbers you type. It is not a lender’s offer and it is not advice for your loan.