Mortgage Recast Calculator

PTO Calculator

If you're ready to make lump sum payment towards your principal balance on your mortgage, you've come to the right place. The calculator below will help you estimate your new monthly payments and other loan terms without entering any personal information or waiting on hold with your mortgage company.


New Loan Amount: $0

New Monthly Payment: $0

We handled the math for you here but if you're interested in how this calculation is preformed here is how it's done.

How to calculate mortgage recast

Recasting your mortgage involves deducting a lump sum amount from your current principal balance. Once you've done that you'll apply your current interest rate and divide by the remaining monthly payments to come up with your new principal balance and monthly payment totals. Here's a quick breakdown of the process.

  1. Subtract your lump sum payment from your current principal

  2. Apply your current interest rate, i.e. 3.5% to the remainder of the original loan

  3. Divide this my your remaining payments to come up with your new monthly payment

Benefits of Mortgage Recasting

Though recasting in and of itself does not alter your interest rates, taxes, HOA fees, or the other ridiculous home ownership costs, it does reduce your monthly payment. By giving your principal balance some much needed ozempic and reducing its weight, you'll in turn save hundreds of dollars each month.

In addition to this, your credit profile will be stronger as you'll have signficantly less debt to contend with. This will make you much less risky to potential lenders. Overall, the main benefit to mortgage recasting is the buff to your buying power.

Stay in control of your finances with more mortgage tools

Be sure to bookmark this tool and visit often as I make weekly updates to this and many other generators and calculators on If you're thinking out refinancing head over to our FHA Refinance Calculator.

Matt Irving is the CEO of Super Easy Tech, LLC.
Matt is the CEO of Super Easy Tech and creator of Super Easy CRM. He is a passionate software engineer, tech blogger, and gamer. Feel free to connect on any of the platforms listed below.

Posted by: Matt Irving on 5/12/2024