If you have variable income, such as commission-based pay or self-employment income, your monthly mortgage payment can be a burden during lean months.

By making a lump sum payment towards your principal and requesting a mortgage recast, you can lower your monthly mortgage payment and make it more manageable during lean months.

[{"selector":"#anim-87e6613b-8000-4a17-abba-13408af3dc32 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(31.21462252752049%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] [{"selector":"#anim-ae5db4d1-1950-459e-9b47-a898a0c0aa94","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}]

If your lender does offer mortgage recasts, they will likely require documentation to process your request.

[{"selector":"#anim-9a8bc37e-a53b-431e-b3e1-f8e324a4d067 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-31.249999886225726%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] [{"selector":"#anim-a85ce7c8-9ad7-4635-96b7-05d0c09fb372","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-61f3c9e7-8520-4de5-92f8-b8d79b9ccc33","keyframes":{"transform":["translate3d(-116.29393%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}]

This documentation may include a letter requesting the recast, a lump sum payment towards your principal, and proof of your current income.

[{"selector":"#anim-9b9ea25c-8901-47b3-8e7b-cfdd3f5ccaae [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-578df7b6-7c8e-470e-ab0f-b34fe3a9046b","keyframes":[{"offset":0,"transform":"translate3d(0, -208.71058%, 0)","easing":"cubic-bezier(.5, 0, 1, 1)"},{"offset":0.29,"transform":"translate3d(0, 0%, 0)","easing":"cubic-bezier(0, 0, .5, 1)"},{"offset":0.45,"transform":"translate3d(0, -58.689415096%, 0)","easing":"cubic-bezier(.5, 0, 1, 1)"},{"offset":0.61,"transform":"translate3d(0, 0%, 0)","easing":"cubic-bezier(0, 0, .5, 1)"},{"offset":0.71,"transform":"translate3d(0, -19.952731448%, 0)","easing":"cubic-bezier(.5, 0, 1, 1)"},{"offset":0.8,"transform":"translate3d(0, 0%, 0)","easing":"cubic-bezier(0, 0, .5, 1)"},{"offset":0.85,"transform":"translate3d(0, -7.492709822%, 0)","easing":"cubic-bezier(.5, 0, 1, 1)"},{"offset":0.92,"transform":"translate3d(0, 0%, 0)","easing":"cubic-bezier(0, 0, .5, 1)"},{"offset":0.96,"transform":"translate3d(0, -3.2558850479999997%, 0)","easing":"cubic-bezier(.5, 0, 1, 1)"},{"offset":1,"transform":"translate3d(0, 0%, 0)","easing":"cubic-bezier(0, 0, .5, 1)"}],"delay":0,"duration":600,"fill":"both"}]

Unlike a refinance, a mortgage recast doesn't require you to go through the entire refinancing process.

[{"selector":"#anim-1d53b17e-070d-4fe7-a82f-1c91deaf42fd [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-36f9bf47-92b4-49bb-9534-3d50d160526d","keyframes":{"transform":["scale(1)","scale(1.5)","scale(0.95)","scale(1)"],"offset":[0,0.33,0.66,1]},"delay":0,"duration":1450,"easing":"ease-in-out","fill":"both","iterations":1}]

Some lenders may require a minimum lump sum payment towards your principal before they'll consider a mortgage recast.

[{"selector":"#anim-fbeddd0d-7be6-4471-8c3d-9a59639ffefe [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-31.21462252752049%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] [{"selector":"#anim-53afc9dd-93e0-4769-8403-b475237b6167","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ab3b84f0-d7b0-44b4-be59-f99230ad9260","keyframes":{"transform":["translate3d(0px, 128.59939%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}]

A mortgage recast only recalculates your monthly payment based on the remaining principal balance.

[{"selector":"#anim-2eb25b57-e17a-40ab-bcfd-1d45bdca5eb3 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(31.21462252752049%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] [{"selector":"#anim-afe06f10-0007-443f-af62-a90a621f45ae","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-68ec158e-3d6b-4a3d-b890-20225fe716fd","keyframes":{"transform":["translate3d(0px, -248.25397%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Image source - Google

Be sure to contact your lender to find out if they offer mortgage recasts and to discuss any fees or minimum payment requirements.

[{"selector":"#anim-6730b79a-ae08-4fb5-a871-b04e61977878 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(31.21462252752049%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] [{"selector":"#anim-b12f51e5-46ac-4bcd-b29d-7c2221426212","keyframes":{"opacity":[1,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] [{"selector":"#anim-8e439e3e-12e1-4b90-bb67-6aa3055d0683","keyframes":{"transform":["scale(3)","scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}]