Yield Maintenance Calculator — Commercial Mortgage Prepayment Penalty

Outstanding Principal Balance

Original Note Rate

The interest rate on your current loan

Comparable U.S. Treasury Yield

View today’s Treasury yields →

Remaining Term

years

Until your lockout / defeasance window ends

Monthly Payment (optional)

Used to show total interest avoided

Estimated Yield Maintenance Penalty

Breakdown

Monthly interest-rate differential

Monthly yield loss to lender

Precise PV (discounted at Treasury)

Simplified approximation (80% rule)

3-2-1 step-down alternative

How this works: Yield maintenance compensates your lender for the interest they’ll lose when you refinance early. We compute the present value of the monthly interest-rate spread (your note rate minus the comparable Treasury yield) over your remaining term, discounted at the Treasury rate. If Treasury yields have risen above your note rate, the penalty floors at 1% of balance per standard covenants. This is an estimate — your actual penalty is defined by your loan documents; confirm with your servicer before transacting.

Embed This Calculator on Your Site

Copy the code below and paste it into your website or blog HTML. The widget is free, self-contained (no libraries), and works on any site.

Show Embed Code

<!-- RefiLoop Yield Maintenance Calculator Widget -->
<!-- Paste where you want the calculator to appear -->
<div id="refiloop-ym-widget" style="max-width:600px;margin:0 auto;padding:20px;border-radius:12px;background:#f8fafc;border:1px solid #e2e8f0;font-family:-apple-system,BlinkMacSystemFont,'Segoe UI',Roboto,sans-serif;">
  <h3 style="text-align:center;font-size:18px;margin-bottom:16px;color:#1e293b;">Yield Maintenance Calculator</h3>
  <div style="margin-bottom:12px;">
    <label style="display:block;font-size:13px;font-weight:600;margin-bottom:4px;color:#1e293b;">Outstanding Balance</label>
    <input type="number" id="rl-ym-b" placeholder="$10,000,000" style="width:100%;padding:10px;border:2px solid #e2e8f0;border-radius:8px;font-size:15px;box-sizing:border-box;">
  </div>
  <div style="display:grid;grid-template-columns:1fr 1fr;gap:10px;margin-bottom:12px;">
    <input type="number" id="rl-ym-nr" placeholder="Note Rate %" style="padding:10px;border:2px solid #e2e8f0;border-radius:8px;font-size:15px;box-sizing:border-box;">
    <input type="number" id="rl-ym-tr" placeholder="Treasury %" style="padding:10px;border:2px solid #e2e8f0;border-radius:8px;font-size:15px;box-sizing:border-box;">
  </div>
  <div style="margin-bottom:12px;">
    <input type="number" id="rl-ym-yr" placeholder="Years Remaining" style="width:100%;padding:10px;border:2px solid #e2e8f0;border-radius:8px;font-size:15px;box-sizing:border-box;">
  </div>
  <button onclick="rlYm()" style="width:100%;background:#1a56db;color:white;border:none;padding:12px;border-radius:8px;font-size:15px;font-weight:600;cursor:pointer;">Calculate Penalty</button>
  <div id="rl-ym-out" style="display:none;text-align:center;margin-top:16px;padding:16px;border-radius:8px;">
    <div id="rl-ym-val" style="font-size:30px;font-weight:800;color:#1e293b;"></div>
    <div id="rl-ym-st" style="font-size:13px;font-weight:600;margin-top:6px;"></div>
  </div>
  <p style="font-size:11px;text-align:center;margin-top:16px;">
    Powered by the <a href="https://refiloop.com/yield-maintenance-calculator" target="_blank" rel="dofollow">RefiLoop Yield Maintenance Calculator</a>
  </p>
</div>
<script>
function rlYm(){
  var b=parseFloat(document.getElementById('rl-ym-b').value)||0;
  var nr=parseFloat(document.getElementById('rl-ym-nr').value)||0;
  var tr=parseFloat(document.getElementById('rl-ym-tr').value)||0;
  var yr=parseFloat(document.getElementById('rl-ym-yr').value)||0;
  if(b<=0||nr<=0||yr<=0){alert('Enter balance, note rate, and years.');return;}
  var n=Math.max(1,Math.round(yr*12));var pv=0;var el=document.getElementById('rl-ym-out');el.style.display='block';
  var v=document.getElementById('rl-ym-val');var s=document.getElementById('rl-ym-st');
  if(tr>=nr){pv=b*0.01;el.style.background='#eff6ff';v.style.color='#1d4ed8';s.style.color='#1d4ed8';s.textContent='Treasury >= note rate, floored at 1%';}
  else{var d=(nr/100-tr/100)/12*b;var tm=tr/100/12;for(var i=1;i<=n;i++){pv+=d/Math.pow(1+tm,i);}var pb=pv/b*100;
  if(pb<1.5){el.style.background='#f0fdf4';v.style.color='#15803d';s.style.color='#15803d';s.textContent='Low penalty - refi likely worthwhile';}
  else if(pb<4){el.style.background='#fffbeb';v.style.color='#b45309';s.style.color='#b45309';s.textContent='Moderate - compare to refi savings';}
  else{el.style.background='#fef2f2';v.style.color='#b91c1c';s.style.color='#b91c1c';s.textContent='High - savings must exceed this cost';}}
  v.textContent='$'+Math.round(pv).toLocaleString('en-US');
}
</script>
<!-- End RefiLoop YM Widget -->

Yield Maintenance & Prepayment Penalty Calculator

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