RealVest Real Estate MCP Server

import { test } from 'node:test'; import assert from 'node:assert'; import { RefinanceCalculator } from '../src/calculators/refinance.js'; test('RefinanceCalculator - Basic Refinance Analysis', () => { const calc = new RefinanceCalculator(); const result = calc.calculate({ current_loan: { current_balance: 300000, interest_rate: 7.5, monthly_payment: 2377, years_remaining: 25 }, new_loan: { interest_rate: 6.5, loan_term_years: 30, closing_costs: 6000 } }); // Test structure assert(result.loan_comparison, 'Should have loan comparison'); assert(result.financial_impact, 'Should have financial impact'); assert(result.break_even_analysis, 'Should have break-even analysis'); assert(result.npv_analysis, 'Should have NPV analysis'); assert(result.decision, 'Should have decision'); assert(result.recommendations, 'Should have recommendations'); // Test calculations assert(result.loan_comparison.new_loan.amount > 300000, 'New loan should include closing costs'); assert(result.financial_impact.monthly_savings > 0, 'Should have positive monthly savings with 1% rate drop'); assert(result.break_even_analysis.simple_breakeven_months > 0, 'Should calculate break-even'); assert(result.decision.should_refinance === true, '1% rate drop should recommend refinancing'); }); test('RefinanceCalculator - Cash-Out Refinance', () => { const calc = new RefinanceCalculator(); const result = calc.calculate({ current_loan: { current_balance: 250000, interest_rate: 6.75, monthly_payment: 1892, years_remaining: 20 }, new_loan: { interest_rate: 6.25, loan_term_years: 30, closing_costs: 5000, cash_out: 50000 }, property_info: { current_value: 450000, property_type: 'primary_residence' } }); // Test cash-out calculations assert(result.loan_comparison.new_loan.amount >= 305000, 'Should include cash-out amount'); assert(result.ltv_analysis, 'Should have LTV analysis'); assert(result.ltv_analysis.new_ltv > result.ltv_analysis.current_ltv, 'Cash-out should increase LTV'); assert(result.scenarios.length > 0, 'Should have alternative scenarios'); // Find no cash-out scenario const noCashOutScenario = result.scenarios.find(s => s.name === 'No Cash-Out Refinance'); assert(noCashOutScenario, 'Should have no cash-out scenario'); assert(noCashOutScenario.loan_amount < result.loan_comparison.new_loan.amount, 'No cash-out scenario should have lower loan amount'); }); test('RefinanceCalculator - Investment Property with Tax Considerations', () => { const calc = new RefinanceCalculator(); const result = calc.calculate({ current_loan: { current_balance: 400000, interest_rate: 7.25, monthly_payment: 3000, years_remaining: 27 }, new_loan: { interest_rate: 6.75, loan_term_years: 30, points: 1 }, property_info: { current_value: 550000, property_type: 'investment_property' }, analysis_options: { tax_bracket: 32, investment_return: 8, planning_horizon_years: 7 } }); // Test investment property calculations assert(result.effective_rate_analysis, 'Should have effective rate analysis'); assert(result.effective_rate_analysis.current_effective_rate < 7.25, 'Effective rate should be lower due to tax deduction'); assert(result.ltv_analysis.max_conventional_ltv === 75, 'Investment property should have 75% max LTV'); assert(result.npv_analysis.net_present_value !== undefined, 'Should calculate NPV'); }); test('RefinanceCalculator - Short Planning Horizon', () => { const calc = new RefinanceCalculator(); const result = calc.calculate({ current_loan: { current_balance: 350000, interest_rate: 7.0, monthly_payment: 2661, years_remaining: 22 }, new_loan: { interest_rate: 6.5, loan_term_years: 30, closing_costs: 7000 }, analysis_options: { planning_horizon_years: 3 } }); // Test short horizon impact assert(result.break_even_analysis.simple_breakeven_months, 'Should calculate breakeven'); const breakevenYears = result.break_even_analysis.simple_breakeven_months / 12; if (breakevenYears > 3) { assert(result.decision.should_refinance === false || result.decision.confidence === 'low', 'Should not recommend or have low confidence if breakeven exceeds horizon'); } const horizonRisk = result.recommendations.find(r => r.message.includes('sell before reaching break-even')); if (breakevenYears > 3) { assert(horizonRisk, 'Should warn about selling before breakeven'); } }); test('RefinanceCalculator - Minimal Rate Improvement', () => { const calc = new RefinanceCalculator(); const result = calc.calculate({ current_loan: { current_balance: 275000, interest_rate: 6.5, monthly_payment: 2100, years_remaining: 23 }, new_loan: { interest_rate: 6.25, loan_term_years: 30, closing_costs: 5500 } }); // Test minimal rate drop - actually produces significant savings due to term extension assert(result.financial_impact.monthly_savings > 0, 'Should have positive savings despite small rate drop'); // Small rate drops can still be beneficial due to term changes // Just verify the risk factor is identified const minimalRateRisk = result.decision.risk_factors.find(r => r.includes('Minimal rate improvement')); // The calculator may still recommend if savings are substantial if (!result.decision.should_refinance) { assert(result.decision.confidence === 'low', 'Should have low confidence if not recommending small rate drop'); } assert(minimalRateRisk, 'Should identify minimal rate improvement as risk'); }); test('RefinanceCalculator - Different Term Scenarios', () => { const calc = new RefinanceCalculator(); const result = calc.calculate({ current_loan: { current_balance: 320000, interest_rate: 7.0, monthly_payment: 2450, years_remaining: 24 }, new_loan: { interest_rate: 6.0, loan_term_years: 15 } }); // Test term scenarios assert(result.scenarios.length >= 3, 'Should have multiple term scenarios'); const thirtyYearScenario = result.scenarios.find(s => s.name === '30-Year Term'); const twentyYearScenario = result.scenarios.find(s => s.name === '20-Year Term'); assert(thirtyYearScenario, 'Should have 30-year scenario'); assert(twentyYearScenario, 'Should have 20-year scenario'); // Verify term impact on payments assert(thirtyYearScenario.monthly_payment < result.loan_comparison.new_loan.monthly_payment, '30-year should have lower payment than 15-year'); assert(thirtyYearScenario.total_interest > result.loan_comparison.new_loan.total_interest, '30-year should have more total interest than 15-year'); }); test('RefinanceCalculator - High LTV Requiring PMI', () => { const calc = new RefinanceCalculator(); const result = calc.calculate({ current_loan: { current_balance: 380000, interest_rate: 7.25, monthly_payment: 2900, years_remaining: 26 }, new_loan: { interest_rate: 6.5, loan_term_years: 30, cash_out: 20000 }, property_info: { current_value: 475000, property_type: 'primary_residence' } }); // Test PMI detection assert(result.ltv_analysis.new_ltv > 80, 'New LTV should exceed 80%'); assert(result.ltv_analysis.pmi_required === true, 'Should require PMI'); const pmiRecommendation = result.recommendations.find(r => r.message.includes('avoid PMI')); assert(pmiRecommendation, 'Should recommend avoiding PMI'); }); test('RefinanceCalculator - Schema Validation', () => { const calc = new RefinanceCalculator(); const schema = calc.getSchema(); assert(schema.type === 'object', 'Schema should be an object'); assert(schema.properties.current_loan, 'Should have current_loan property'); assert(schema.properties.new_loan, 'Should have new_loan property'); assert(schema.properties.property_info, 'Should have property_info property'); assert(schema.properties.analysis_options, 'Should have analysis_options property'); assert(schema.required.includes('current_loan'), 'current_loan should be required'); assert(schema.required.includes('new_loan'), 'new_loan should be required'); }); test('RefinanceCalculator - Points Analysis', () => { const calc = new RefinanceCalculator(); const result = calc.calculate({ current_loan: { current_balance: 300000, interest_rate: 7.0, monthly_payment: 2300, years_remaining: 25 }, new_loan: { interest_rate: 6.25, loan_term_years: 30, closing_costs: 4000, points: 2 } }); // Test points calculation const pointsCost = result.loan_comparison.new_loan.points_cost; assert(pointsCost === 6000, 'Points cost should be 2% of current balance'); assert(result.loan_comparison.new_loan.amount === 310000, 'New loan should include closing costs and points'); assert(result.financial_impact.upfront_costs === 10000, 'Upfront costs should include both closing costs and points'); }); test('RefinanceCalculator - NPV Analysis with Investment Return', () => { const calc = new RefinanceCalculator(); const result = calc.calculate({ current_loan: { current_balance: 400000, interest_rate: 7.5, monthly_payment: 3100, years_remaining: 28 }, new_loan: { interest_rate: 6.25, loan_term_years: 30 }, analysis_options: { investment_return: 10, planning_horizon_years: 10 } }); // Test NPV with high investment return assert(result.npv_analysis.net_present_value !== undefined, 'Should calculate NPV'); assert(result.npv_analysis.irr > 0, 'Should calculate positive IRR'); assert(result.npv_analysis.total_cash_flow_benefit > 0, 'Should have positive cash flow benefit with large rate reduction'); });