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Loan Recast

Lower Your Monthly Mortgage Payment with a Loan Recast

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Recast vs. No Recast Am I Eligible? How to Get Started What Happens Next? FAQ

If you've received extra funds from a bonus, inheritance, home sale, or savings, you may be able to lower your monthly mortgage payment by making a large payment toward your mortgage balance.

This option, called a recast, keeps your current interest rate and loan term while reducing your monthly principal and interest payment.

With a Recast vs. Without a Recast

With a Recast:

  • Your monthly payment is reduced
  • Your interest rate stays the same
  • Your original payoff date stays the same

Without a Recast:

  • Your payment stays the same
  • Your loan would be paid off much earlier
  • You may save more interest over time

Not sure which option is best? Contact our team and we'll help you evaluate your choices.

You May Be Eligible If:

  • Your mortgage is owned by Fannie Mae or Freddie Mac
  • You've already made your first mortgage payment
  • Your loan is current and up to date
  • You're planning to make a one-time payment of at least $10,000
  • If your loan has mortgage insurance (PMI), additional approval may be required

Not sure if you qualify? Contact us at 877-350-0350 and we'll review your loan.

How to Get Started

Choose the option that works best for you:

Option 1: Wire Transfer

  1. Complete the online request form.
  2. We'll email wiring instructions after your request is received.
  3. Submit your recast fee and one-time principal payment.

Option 2: Certified Check

  1. Download and complete the recast request form.
  2. Include:
    • Your completed form
    • The $300 processing fee
    • Your principal payment
  3. Mail everything to the address listed on the form.

What Happens Next?

After we receive your request, fee, and payment:

  1. We'll review your request.
  2. Within approximately 30 days, we'll send you updated loan documents showing your new payment amount.
  3. You'll sign and return the documents.
  4. Your new mortgage payment will typically take effect within 30–60 days after we receive the completed paperwork.

Frequently Asked Questions

Will my interest rate change?

No. Your current interest rate stays the same.

Will my loan term change?

No. Your original payoff date remains the same.

What is the minimum payment required?

A one-time payment of at least $10,000 is required.

What does it cost?

The recast processing fee is $300.