Florida Mortgage Corporation offers a number of FIXED RATE conforming mortgage programs that allows the customer to recast or re-amortize the mortgage and lower their monthly payment.
It simply means that your existing mortgage will be modified or recalculated with a new amortization schedule reflecting your new lower monthly payments. This is done when the customer makes a large single payment to reduce the principal loan balance. The original fixed interest rate stays the same and there are NO closing costs involved.
A FEW REASONS TO RECAST A MORTGAGE:
You need to close on your mortgage now, but you will be receiving a lump sum of cash after closing that you wish to use to pay down your mortgage.
Lump sum of money may come from the sale of your current home.
Lump some of money may come from an upcoming bonus, settlement of an estate, inheritance, sale of asset, stock options or some other source.
Monthly payment reduced without changing your interest rate, changing your loan term.
NO Closing Costs
NO Refinancing - Modification Only
Less Mortgage Interest To Pay Means Significant Savings
Lower Monthly Payments Improves Cash Flow
Available On "Fixed Rate" Conventional Mortgage Program Only
Conforming Loan Amount: Maximum $417,000
Recast Feature Available At Time Of "Lock-in" Of Interest Rate.
Borrower Must Request Recast Feature "Prior" To Lock-In Of Interest Rate In Writing
NOT All Mortgage Programs Offer The RECAST feature; Only A Select Few Conforming.
NO Time Limit To Recast - Available Anytime During The Life Of The Loan
Minimum Lump Sum Single Payment May Apply, Depending Upon Mortgage Program