Mortgage Recast Calculator

Got a lump sum? Recast, prepay, or refinance?

Loan type
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Quick recommendation

Want a lower monthly payment? Pick Recast ($1,928/mo).
Want maximum interest savings? Pick Extra payment (keep payment) ($158,630 saved).

Best for cash flow

Recast

$1,928/mo

Best for total savings

Extra payment (keep payment)

saves $158,630

Lump sum

$50,000

14.7% of balance

Current monthly P&I

$2,261

26yr 0mo remaining

All four strategies side by side

Do nothing

Keep paying as scheduled. The lump sum stays liquid.

Monthly: $2,261Payoff: 26yr 0moTotal interest: $365,345

Pros

  • +Cash stays liquid for emergencies / investments

Cons

  • −No interest savings
Recast

Apply $50,000 to principal and re-amortize at the same rate. Lower monthly payment, same payoff date.

Monthly: $1,928Payoff: 26yr 0moTotal interest: $311,618saves $53,727Upfront: $50,250

Pros

  • +Lowers monthly payment by $332
  • +~$250 fee — way cheaper than refinancing
  • +Same rate, same term, same lender — no requalification

Cons

  • −Lump sum is locked in home equity (illiquid)
  • −Less interest saved than the extra-payment route
Extra payment (keep payment)

Apply $50,000 to principal but keep paying $2,261/mo. Pay off earlier.

Monthly: $2,261Payoff: 18yr 4moTotal interest: $206,715saves $158,630Upfront: $50,000

Pros

  • +Maximum interest savings: $158,630
  • +Payoff 7yr 8mo earlier
  • +No fees

Cons

  • −Monthly payment unchanged — no cash flow relief
  • −Lump sum is locked in home equity
Refinance

New 5.875% rate, $5,500 closing rolled in.

Monthly: $2,163Payoff: 26yr 0moTotal interest: $329,277saves $36,068

Pros

  • +Lowers payment by $98
  • +Lower lifetime interest

Cons

  • −$5,500 closing costs (rolled in here)
  • −Requires requalification (credit, income, appraisal)
  • −30–45 day process
  • −Resets the loan — may extend term if you stretch back to 30 years
What is a recast? You hand the lender a lump sum and pay a small fee (typically $150–$500). They re-amortize your loan: same rate, same payoff date, lower monthly payment. It’s the simplest way to get the cash-flow benefit of a refinance without the cost or hassle. Most conventional loans allow it; ask your servicer.