Institutional-grade yield optimization. Solve for break-even points, amortization recapture, and net present value in the 2026 market.
Official 2026 mortgage yield targets and equity thresholds.
| Current Rate | Target (2026) | Action |
|---|---|---|
| 7.5% - 8.0% | 6.15% | Strong Buy |
| 7.0% - 7.5% | 6.15% | Optimize |
| 6.5% - 7.0% | 6.15% | Analyze |
| Net Spread | > 0.75% | Target |
| Closing Cost | Mo. Savings | Break-Even |
|---|---|---|
| $3,000 | $250 | 12 Mo. |
| $5,000 | $250 | 20 Mo. |
| $7,500 | $250 | 30 Mo. |
| Standard Limit | - | 36 Mo. Max |
| Equity (LTV) | PMI Status | Program Access |
|---|---|---|
| 20%+ (80%) | None | All Access |
| 10-19% (90%) | Standard | Conventional |
| 3-9% (97%) | High-Risk | FHA / Low-Down |
| VA Streamline | None | IRRRL |
Refinancing is the strategic re-leveraging of residential debt to capture lower yield environments or extract asset liquidity. In the 2026 market, success is determined by the **NPV (Net Present Value)** of the transaction relative to the remaining amortization term. Our S-Class engine analyzes the delta between your current **Weighted Average Cost of Debt** and the 2026 prevailing conforming rates.
Our 2026 Engine utilizes a **Time-Value-of-Money (TVM) Comparison**. It doesn't just look at the monthly payment; it calculates the total interest paid over the remaining life of both the old and new loans, factoring in the upfront closing costs. This ensures that a lower monthly payment doesn't accidentally lead to higher long-term costs due to an amortization reset.
Expert guidance for navigating 2026 mortgage liquidity options.
Internal Resource Mapping
Verified Institutional Framework • 2026 Edition