Recast Mortgage Calculator

Introduction: The Recast Mortgage Calculator is a powerful tool for homeowners considering recasting their mortgage. By inputting the current loan details and an additional monthly payment, users can estimate the time it takes to recast the mortgage and the total interest paid.

Formula: The calculator employs the following formula to calculate the remaining loan balance over time with additional payments: Remaining Balance=(Remaining Balance×(1+Monthly Interest Rate))−Additional Monthly PaymentRemaining Balance=(Remaining Balance×(1+Monthly Interest Rate))−Additional Monthly Payment It iteratively calculates the remaining balance until it reaches zero.

How to Use:

  1. Enter your Current Loan Amount.
  2. Input the Annual Interest Rate.
  3. Specify the Remaining Loan Term in months.
  4. Provide the Additional Monthly Payment.
  5. Click the “Calculate” button to view the recasting results.

Example: Suppose you have a $250,000 loan with a 4.5% annual interest rate and a remaining term of 120 months. If you make an additional payment of $200 per month, use the Recast Mortgage Calculator to estimate the time it takes to recast the loan and the total interest paid.


  1. What is mortgage recasting? Mortgage recasting involves making a substantial additional payment towards the principal of the mortgage, leading to a recalculation of the monthly payments based on the reduced loan balance.
  2. How does the Recast Mortgage Calculator work? The calculator estimates the remaining loan balance over time with additional monthly payments, helping users understand the impact on the recasting process and total interest paid.
  3. Can I use the calculator for different remaining terms? Yes, the calculator is flexible and can be used for various remaining loan terms by adjusting the input.
  4. What does the Remaining Loan Term represent? The Remaining Loan Term is the number of months left in the current mortgage before recasting.
  5. Is the Monthly Interest Rate the annual rate divided by 12? Yes, the Monthly Interest Rate is calculated by dividing the annual interest rate by 100 and then dividing by 12 to get the monthly rate.
  6. How accurate are the results provided by the calculator? The results are estimates based on the provided information. Actual results may vary based on changes in interest rates, fees, or other factors.
  7. Can I use the calculator for loans with variable interest rates? The calculator assumes a fixed interest rate. Results for variable rate loans may differ.
  8. What happens if I make irregular additional payments? The calculator provides an estimate based on regular monthly additional payments. Irregular payments may result in different outcomes.
  9. Is there a penalty for recasting a mortgage? It’s essential to check your loan agreement. Some mortgages may have fees associated with recasting.
  10. Can the calculator handle different currencies? Yes, as long as the currency is consistent for all input fields, the results will be in that currency.

Conclusion: The Recast Mortgage Calculator empowers homeowners to explore the potential benefits of recasting their mortgage. By understanding the impact of additional payments, individuals can make informed decisions to achieve financial goals. Before proceeding with recasting, it’s crucial to consult with your lender and review your loan terms.

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