Recast Mortgage: Reduce Your Payment Without Refinancing

Recast Mortgage: How to Reduce Your Payment Without Refinancing Brought to you by MyHECM.com: Mortgage and retirement resources for seniors, their families, and their advisors. Please help us out by clicking the Like and Subscribe buttons. Thank you for your support! What is a Mortgage Recast? A mortgage recast is the process of recalculating your mortgage payment based on a reduced mortgage balance without changing your interest rate or loan term. It's also known as a mortgage reamortization. Here's how it works. You pay a lump sum on your mortgage then your lender recalculates your mortgage payment based on the reduced balance and remaining loan term. A mortgage recast is not the same as a mortgage refinance. A refinance involves replacing your mortgage with a new one that has a different rate and loan term.