Mortgage Recast Calculator & Amortization Schedule
Estimate your new monthly payment and total interest savings after a mortgage recast in under a minute.
Use this free mortgage recast calculator (also called a recast mortgage calculator) to see your new payment and interest savings before you call your lender. This free online mortgage recast calculator works like a recast mortgage payment calculator for any lender – Chase, Wells Fargo, Bank of America, Rocket Mortgage, PennyMac, Freedom Mortgage, and more.
Calculate My New Payment →Free Mortgage Recast Calculator (Recast Mortgage Payment Tool)
Calculate Your Recast Savings
View amortization chart · Jump to FAQs
This free mortgage recast payment calculator shows your new payment, interest savings, and full amortization schedule after a lump-sum recast.
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Mortgage Recast Amortization Schedule
After you run the calculation, this section shows your updated mortgage recast amortization schedule – how your loan balance declines over time after the recast. You can view the amortization chart below and download the full mortgage recast amortization table as a CSV file.
How to Use This Mortgage Recast Calculator
Using our mortgage recast calculator is simple and takes just a few minutes:
- Gather your latest mortgage statement to find your current loan balance, interest rate, and remaining term.
- Enter your current loan balance, rate, and remaining term in years and months.
- Enter the lump-sum payment you plan to make and any recast fee your lender charges.
- Hit "Calculate" to see your new required payment and interest savings instantly.
- (Optional) Add an extra monthly amount if you plan to keep paying aggressively to see how much time you'll shave off your mortgage.
Please note that all results are estimates based on the information you provide. Your actual new payment and savings will be determined by your lender when they process the recast. Always confirm the details with your loan servicer before making a lump-sum payment.
If you add an amount in the “extra monthly payment after recast” field, the tool becomes a mortgage recast calculator with extra payments, showing how many months you can shave off your payoff date.
Mortgage recast calculator formula (behind the scenes)
This calculator uses the standard loan amortization formula to compute your new mortgage recast payment and interest savings after your lump sum:
- New principal = current balance – lump sum
- Monthly rate = annual interest rate ÷ 12
- Payment = P × r / (1 – (1 + r)^(-n))
That’s why this tool also acts as a mortgage recast interest savings calculator and recast comparison calculator – it lets you compare “before vs after” payments and total interest side by side.
What Is a Mortgage Loan Recast?
A mortgage recast (also called a mortgage loan recast or re-amortization) is a process where you make a large lump-sum payment toward your mortgage principal, and your lender recalculates your monthly payment based on the new, lower balance.
Here's how it works:
- You make a one-time, substantial payment toward your principal (typically $5,000 or more).
- Your lender re-amortizes the remaining balance over the remaining term of your loan.
- Your interest rate stays exactly the same — nothing about your loan changes except the balance and payment amount.
- Your monthly mortgage recast payment goes down, giving you more breathing room in your budget.
After you understand the basics, plug your numbers into the mortgage recast calculator above to see your own scenario. Our recast mortgage calculator lets you model your new payment and automatically builds a mortgage recast amortization schedule so you can see how your balance and interest change over time.
Most lenders charge a small recast fee (usually between $150 and $500), and not all loan types qualify. Recasting is typically available only for conventional conforming loans backed by Fannie Mae or Freddie Mac. FHA, VA, and jumbo loans often do not allow recasts, so always check with your servicer first.
Unlike refinancing, a recast doesn't require a new loan, credit check, or appraisal. It's a simpler, faster, and often cheaper way to reduce your monthly payment if you have extra cash available.
Pros and Cons of Mortgage Recasting
Pros
- Lower required monthly payment, improving cash flow
- Keep your current interest rate (great if rates have risen)
- Usually cheaper and simpler than refinancing
- No credit check required in most cases
- Minimal paperwork and faster processing
- Reduces total interest paid over the life of the loan
Cons
- Cash is locked into home equity (less liquid)
- Not available for all loan types (especially FHA/VA)
- One-time fee typically required ($150-$500)
- Doesn't lower your interest rate
- Requires substantial lump sum (often $5,000+ minimum)
- Opportunity cost if you could invest the money elsewhere
Run the numbers in the calculator above to see if the trade-off makes sense in your situation.
Mortgage Recast vs Refinance vs Extra Payments
When you have extra cash to put toward your mortgage, you have several options. Here's how they compare:
| Feature | Recast | Refinance | Extra Principal Payments |
|---|---|---|---|
| Monthly payment change | Lowers required payment | Can lower or raise payment depending on new rate/term | No change to required payment |
| Interest rate change | No change (keeps current rate) | New rate (can be higher or lower) | No change |
| Typical costs | $150–$500 one-time fee | 2–5% of loan amount in closing costs | $0 (free) |
| Paperwork & time | Minimal; usually 1–2 weeks | Extensive; 30–45 days | None; just send payment |
| Credit check required | Usually no | Yes | No |
| When it makes sense | You want lower payments but like your current rate | Current rates are significantly lower than yours | You want flexibility; can stop anytime |
For a deeper dive into the differences, check out our detailed guides on mortgage recast vs refinance and mortgage recast vs extra payments.
Example Mortgage Recast Scenarios
Here are a few real-world examples showing how recasting can change your payment and save you money:
Example 1: Young Professional with Inheritance
Scenario: Sarah has a $300,000 mortgage at 4.0% with 25 years remaining. She receives a $50,000 inheritance and decides to recast.
- Old monthly payment: $1,585
- New monthly payment: $1,321
- Monthly savings: $264
- Total interest saved: $29,100 over the remaining loan term
Result: Sarah lowers her required payment by $264/month while keeping her 4.0% rate, giving her more flexibility in her budget.
Example 2: Family Downsizing After Home Sale
Scenario: The Johnsons sold their second home and have $75,000 to put toward their primary residence. Current mortgage: $400,000 at 3.5% with 20 years left.
- Old monthly payment: $2,321
- New monthly payment: $1,889
- Monthly savings: $432
- Total interest saved: $47,680
Result: The Johnsons reduce their monthly obligation significantly and save nearly $50,000 in interest without going through a refinance.
Example 3: Recast with Continued Aggressive Payments
Scenario: Mike has a $250,000 loan at 3.75% with 22 years remaining. He puts $30,000 down and recasts, but continues paying his old payment amount.
- Old monthly payment: $1,389
- New required payment: $1,223
- Mike continues paying: $1,389 (the old amount)
- New payoff time: 18 years 4 months
- Time saved: 3 years 8 months
- Total interest saved: $36,420
Result: By recasting but keeping his old payment, Mike pays off his mortgage nearly 4 years early and saves over $36,000 in interest.
Use the calculator above to model your own scenario and see exactly how much you could save!
Mortgage Recast Calculator FAQs
Is mortgage recasting worth it?
Mortgage recasting can be worth it if you have a large lump sum and want to lower your monthly payment without refinancing. It's particularly valuable when you want to keep your current interest rate (especially if rates have risen since you got your loan) but reduce monthly obligations. Use the calculator above to compare your payment and interest savings to see if it makes financial sense for your situation.
How much does a mortgage recast cost?
Many lenders charge a one-time recast fee, typically ranging from $150 to $500, though some charge nothing at all. The exact amount depends on your lender and loan servicer. This fee is significantly lower than refinancing costs, which can run into thousands of dollars. Our mortgage recast calculator lets you include the recast fee when estimating the total benefit.
Does mortgage recasting change your interest rate?
No, mortgage recasting keeps your current interest rate exactly the same. The lender simply re-amortizes your remaining balance over the remaining term after you make a lump-sum payment. This is a key difference from refinancing, which establishes a completely new loan with a new interest rate. If you have a low rate, recasting lets you keep it while still lowering your payment.
Can you recast an FHA or VA loan?
Most FHA and VA loans do not allow recasting. Recasting is typically available only for conventional conforming loans held by Fannie Mae or Freddie Mac. Some portfolio loans and jumbo mortgages may also not qualify. Always check with your loan servicer to confirm if your specific loan qualifies for a recast before making a large principal payment.
How many times can you recast your mortgage?
There's no universal limit on how many times you can recast, but policies vary by lender. Some allow multiple recasts over the life of the loan while others may limit you to one or two. Each recast typically requires a minimum lump-sum payment (often $5,000 or more) and may involve another processing fee. Check your lender's specific recast policy for details.
Does mortgage recasting affect your credit score?
No, mortgage recasting typically does not affect your credit score. Unlike refinancing, recasting usually doesn't require a credit check because you're keeping the same loan with the same lender. Your credit report will continue to show on-time payments on the same mortgage account.
Does a mortgage recast change my escrow, taxes, or insurance?
No. A mortgage recast only changes your principal and interest payment. Your escrow for taxes and insurance is calculated separately by your lender. This mortgage recast calculator with escrow in mind focuses on the principal and interest part of your payment – your total monthly bill from the lender may still include separate escrow charges.
Is mortgage recasting the same as refinancing?
No, mortgage recasting and refinancing are quite different. Recasting keeps your existing loan and interest rate while lowering your payment through re-amortization after a lump-sum payment. Refinancing replaces your entire loan with a new one, potentially changing your rate, term, and monthly payment. Recasting is typically faster, cheaper, and requires less paperwork than refinancing. Learn more about the differences in our mortgage recast vs refinance guide.
What's the difference between mortgage recasting and loan modification?
Mortgage recasting is a voluntary process where you make a large principal payment to lower your monthly payment. Loan modification is typically for borrowers in financial hardship and may involve changing the interest rate, extending the term, or other loan conditions to make payments more affordable. Recasting is a strategic financial move for borrowers in good standing, while modification is usually a hardship relief option that may affect your credit.