Mortgage Recast

Categories: Credit and Debt, Real Estate,

A recalculation of mortgage repayment to suit lenders' financial circumstance. It usually occurs when the lender is in financial distress and may need to make lower monthly payments. However, it can also occur if a person pays a huge sum of money on their mortgage, which means that the interest may need to be recalculated; hence, the agreed loan end-date may change.