Mortgage Forbearance Calculator

Understand the true cost of forbearance. Compare deferral, repayment plan, and loan modification options — see your new balance, new payment, and the road back to financial stability.

$
%
yrs
months
Total Missed Payment Amount
$5,672
3 months × $1,891/mo current payment
Interest Accrued
$4,575
New Balance (Deferral)
$284,575
New Payment (Deferral)
$1,921
Extra Interest Cost
$9,267

All three options based on $280,000 balance at 6.5% with 3 missed months.

months
Deferral
$1,921/mo
Missed payments moved to end of loan
New balance: $284,575
Extra interest: $9,267
Best for: Cash-strapped, need time
Repayment Plan (12-mo catch-up)
$2,363/mo
Pay back over 12 months
Catch-up extra: $473/mo
No extra long-term interest cost
Best for: Steady income resumed
Loan Modification
$1,747/mo
Rate −0.5%, term +24 months
New rate: 6.0%
Permanent change to loan terms
Best for: Permanent hardship
%
months
$

Comparing your 3 options: take forbearance, sell the home, or refinance before missing payments.

Take Forbearance (Deferral)
Cost: $13,841
Extra interest over loan life
Keep home: Yes
Impact: Refinance delayed ~12 months
Best when: Hardship is temporary, you want to keep the home
Sell the Home
Net proceeds: $77,200
Equity: $100,000
Selling costs (6%): $22,800
Keep home: No
Best when: Enough equity, can't sustain payments
Refinance Before Missing
Save: $171/mo
New rate: 5.5% (estimated −1%)
Closing costs: $7,000
Break-even: 41 months
Best when: Hardship is rate-related, credit is intact

How to Use the Mortgage Forbearance Calculator

This calculator helps homeowners understand the full financial impact of entering mortgage forbearance — whether due to job loss, medical hardship, or another temporary setback.

Quick Calculator

Enter your current loan balance, interest rate, remaining term, and the number of months you expect to miss payments (1–12). Select your forbearance type: deferral (missed payments moved to the end), repayment plan (catch up over several months), or loan modification (permanent term change). The calculator instantly shows your total missed amount, the interest that accrues, and what your new payment will be after forbearance ends.

Advanced: Forbearance Options Comparison

See all three exit options side by side — monthly payment, total extra interest, and best use case for each. The Timeline tab walks through the month-by-month payment schedule from forbearance entry through re-entry. The Credit Impact tab explains how forbearance affects your credit score and when you can refinance.

Pro: Total Cost Analysis

Compare forbearance against selling your home or refinancing before missing payments. The Modification Scenarios tab shows rate reduction, term extension, and combined modification options. The Recovery Plan tab provides a milestone roadmap back to full financial standing.

How Forbearance Interest Is Calculated

Monthly Interest = Remaining Balance × (Annual Rate / 12)

During Forbearance (n months):
Month 1 Interest = Balance × r
Month 2 Interest = (Balance + Month 1 Interest) × r
...
New Balance = Original Balance + Sum of All Accrued Interest

New Payment (Deferral) = PMT(rate/12, remaining months, new balance)
Catch-Up Extra = (Missed Payments × Original Payment) / Repayment Months

Unlike a regular missed payment (which triggers default), forbearance is a formal agreement. However, interest continues to accrue on your balance daily even when you make no payments — this is the core cost of deferral-type forbearance.

Example: 3-Month Forbearance on a $280,000 Loan

Balance: $280,000 | Rate: 6.5% | 25 Years Remaining | 3 Months Missed

Current Monthly Payment$1,892
Total Missed Payments$5,676
Interest Accrued (3 months)$4,536
New Balance (Deferral)$284,536
New Payment (Deferral)$1,922/mo (+$30)
New Payment (12-mo Repayment)$2,365/mo (+$473)
Extra Long-Term Interest (Deferral)~$8,200
Refinance Eligibility (Conventional)12 months after exit

The deferral option feels painless now (no payments for 3 months) but costs about $8,200 in extra interest over the life of the loan. The repayment plan eliminates extra long-term cost but requires a significantly higher payment for 12 months post-forbearance.

Frequently Asked Questions

Under the CARES Act, if your loan is federally backed (FHA, VA, USDA, or backed by Fannie Mae or Freddie Mac) and you were current before requesting forbearance, lenders must report your account as "current" to credit bureaus during the forbearance period. For non-CARES loans, the impact varies by lender. Critically, forbearance is not the same as default — handled correctly, it should not tank your score. Always get your forbearance agreement in writing before stopping payments.
Forbearance is the broad term for a temporary pause or reduction in mortgage payments. Deferral is one specific exit option after forbearance — the missed payments are moved to the end of the loan as a non-interest-bearing lump sum (for Fannie/Freddie loans) or added to the principal balance (for other loans). Other exit options include repayment plans and loan modifications. The exit option you choose has a major impact on your long-term costs.
Generally no — lenders require a seasoning period. For conventional loans (Fannie Mae/Freddie Mac), you typically need 12 consecutive on-time payments after exiting forbearance. FHA and VA loans are more lenient, requiring only 3 on-time payments. Some cash-out refinances have even stricter requirements. The exact rules depend on the type of forbearance, the exit option chosen, and the loan program you're refinancing into.
Yes, for most loans. Your mortgage interest does not stop just because payments pause — the daily interest meter keeps running. On a $280,000 balance at 6.5%, that's roughly $1,500/month in interest. Over a 3-month forbearance, your balance can grow by $4,500 or more. Some CARES Act-specific deferral programs "suspend" the missed payments without adding them to the principal, but interest still accrues on the original balance. Always ask your servicer exactly how interest is handled during your specific forbearance.
Contact your servicer 30–60 days before forbearance ends to discuss exit options. Do not assume your servicer will contact you first. Get your exit agreement in writing specifying the exact option (deferral, repayment, modification), the new payment amount, and how payments were reported to credit bureaus. After exiting, make every payment on time — this is the single most important factor in rebuilding your financial standing and becoming refinance-eligible. Free HUD-approved housing counselors can help: call 800-569-4287.

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