6.3mediumCONDITIONAL GO

MortgageClarity Calculator

An interactive mortgage comparison tool that shows true all-in costs for refinance, recast, and extra payment scenarios side by side.

FinanceHomeowners with 2-7 year old mortgages at 5.5%+ rates who are getting refinan...
The Gap

Homeowners get misleading spam mailers quoting low payments that exclude taxes and insurance, and struggle to compare refinancing vs recasting vs staying put with accurate total costs and break-even timelines.

Solution

User inputs current loan details (balance, rate, term, taxes, insurance, PMI). The tool instantly models refinance at current market rates (with closing costs amortized), recast with a lump sum, and extra monthly payments — showing true monthly cost, total interest paid, break-even point, and net savings over the loan life.

Revenue Model

Freemium — free basic comparison, paid tier ($5-10/mo or $29 one-time) unlocks advanced scenarios, rate alerts when refinancing becomes worth it, and personalized action plans. Affiliate revenue from connecting users to vetted lenders.

Feasibility Scores
Pain Intensity7/10

Real pain but episodic — homeowners face this decision maybe 1-3 times in their life. The spam mailer frustration is genuine and the Reddit thread confirms confusion. However, it's not a daily burning problem; it's a high-stakes one-time decision. Pain is intense when active but the window is narrow.

Market Size7/10

~65M mortgage holders in the US. Target of 5.5%+ rate holders from 2022-2024 originations is roughly 10-15M households. At $5-29 price point, TAM is $50-400M. Realistically addressable market for an indie tool is much smaller — maybe $2-10M ARR ceiling without lender partnerships. Affiliate revenue from lender referrals could be significant ($200-500 per qualified lead).

Willingness to Pay4/10

This is the weakest link. Free mortgage calculators are everywhere. Users expect financial calculators to be free because the entire industry gives them away as lead-gen tools. Paying $5-10/month for a calculator you use once or twice is a hard sell. The $29 one-time is more realistic but still faces 'I can just use a spreadsheet' objection. Rate alerts add recurring value but competing with free services from Bankrate, NerdWallet. Affiliate/lender referral is the real money path, not consumer subscriptions.

Technical Feasibility9/10

This is fundamentally math + UI. Mortgage amortization, break-even analysis, and scenario comparison are well-understood calculations. A solo dev can absolutely build a polished MVP in 4-6 weeks. No AI needed, no complex integrations required for v1. Rate data APIs exist (Mortgage News Daily, Freddie Mac). The hardest part is making the UX clear and trustworthy, not the engineering.

Competition Gap7/10

The specific gap — unified refinance vs recast vs extra payments with true all-in costs — genuinely does not exist as a single clean tool. Every competitor siloes their calculators. Recast calculators are especially rare. However, the gap exists partly because incumbents make money from lender referrals and have no incentive to build a 'maybe don't refinance' tool. A new entrant building an honest comparison tool is swimming against the industry's business model.

Recurring Potential3/10

Very low natural recurrence. You run the comparison, make your decision, and you're done for years. Rate alerts add some stickiness but don't justify monthly payments for most users. This is fundamentally a one-time-use tool trying to force a subscription model. One-time payment or affiliate model fits much better than SaaS.

Strengths
  • +Genuine gap in the market — no tool does unified refi vs recast vs extra payment with true all-in costs
  • +Technically simple to build with high polish potential in short timeframe
  • +Strong SEO opportunity around 'mortgage recast calculator' (low competition keyword)
  • +Pain is real and validated by organic Reddit discussions with high engagement
  • +Affiliate revenue from lender referrals can be very lucrative ($200-500/lead) if you build trust
Risks
  • !Consumer willingness to pay for calculators is near zero — free alternatives dominate mindshare
  • !One-time use pattern makes subscription model extremely difficult to sustain
  • !Bankrate or NerdWallet could build this feature in a sprint if it gains traction — zero moat
  • !Affiliate model requires lender partnerships and compliance overhead (RESPA regulations)
  • !Seasonal/cyclical demand tied to rate environment — if rates stay high, refi interest dies
Competition
Bankrate Mortgage Calculators

Suite of free mortgage calculators including refinance, amortization, and extra payment calculators. Industry standard for basic mortgage math.

Pricing: Free (ad-supported, lead-gen model
Gap: No side-by-side comparison of refinance vs recast vs extra payments in a single view. No true all-in cost modeling (taxes, insurance, PMI often excluded). Calculators are siloed — user must run 3 separate tools and manually compare. No recast calculator at all.
NerdWallet Mortgage Tools

Refinance calculator, mortgage comparison tools, and lender marketplace. Strong editorial content layer.

Pricing: Free (affiliate/lead-gen revenue from lender referrals
Gap: No recast modeling whatsoever. No unified comparison view across strategies. Taxes and insurance are inputs but not prominently surfaced in the 'true cost' framing. Optimized for driving lender leads, not for telling users 'actually, don't refinance.'
Karl's Mortgage Calculator

Detailed mortgage calculator with amortization schedules, extra payment modeling, and some refinance comparison features. Power-user favorite.

Pricing: Free web tool, mobile app ~$1-2
Gap: Dated UI/UX, no recast calculator, no side-by-side strategy comparison, no break-even visualization, no rate alert functionality. Doesn't include taxes/insurance/PMI in total cost view. Not designed for the 'should I refi?' decision framework.
Zillow Mortgage Calculator

Mortgage payment calculator integrated with Zillow's property data. Includes taxes and insurance estimates pulled from property records.

Pricing: Free (lead-gen to Zillow Home Loans
Gap: No refinance vs recast vs extra payment comparison. No break-even analysis. No closing cost amortization modeling. Designed to estimate payments on purchases, not optimize existing mortgage strategy. Fundamentally a top-of-funnel lead capture tool.
MortgageCalculator.org / CalcXML

Collection of specialized mortgage calculators including refinance break-even, extra payment, and basic comparison tools.

Pricing: Free (ad-supported
Gap: No recast option. Calculators are separate pages — no unified comparison. UX is cluttered and ad-heavy. No personalized recommendations. No rate monitoring. Feels like a 2010 website. No mobile optimization.
MVP Suggestion

Single-page web app: user enters current loan details (balance, rate, term remaining, monthly taxes, insurance, PMI). Tool instantly shows 3 columns — (1) Stay Put with optional extra payments, (2) Refinance at current market rate with closing costs, (3) Recast with lump sum. Each column shows: true monthly payment (PITI), total interest over remaining life, break-even month, and net savings vs current. Add a simple slider for 'how long will you stay in this home?' that dynamically updates the recommendation. No login required. Ship in 3-4 weeks.

Monetization Path

Free comparison tool → build SEO traffic and trust → monetize via lender affiliate referrals for users who decide to refinance ($200-500/lead) → add premium one-time purchase ($19-29) for PDF reports, multi-scenario modeling, and rate alerts → explore B2B licensing to financial advisors and real estate agents who need this tool for client conversations ($99-199/year per seat)

Time to Revenue

Affiliate path: 3-6 months (need SEO traction first). One-time purchase: 4-8 weeks post-launch if you have distribution (Reddit, Twitter, Hacker News launch). B2B licensing: 2-4 months of direct outreach to financial advisors. Fastest path to first dollar is a Product Hunt / Reddit launch with a $19 'pro' tier.

What people are saying
  • spam mail claims they can get me down to $1230/month which I know is excluding a bunch of taxes and such
  • wondering if I'd be able to get under $1500/month again, or if I'd be better off recasting instead of refinancing
  • we need to know your current taxes and insurance monthly cost
  • by the time you pay closing costs on a refi, your total cost will be close to a wash