Buy-Before-You-Sell Recast Calculator
Drop your monthly payment without paying thousands in refinancing costs. See how a mortgage recast can work for you.
Why choose a Recast Strategy?
A mortgage recast allows you to make a large lump-sum payment toward your new loan's principal balance after your current home sells. Your lender then recalculates your monthly payment based on the new, lower balance—without changing your interest rate or loan term.
Buying a new home before selling your old one often means relying on contingency offers (which sellers frequently reject) or bridge loans (which require two closings and twice the fees). A recast gives you the competitive edge of a non-contingent offer with the financial simplicity of a single closing.
To get started, you only need a small initial down payment (typically around 5%). Many buyers fund this initial amount using personal savings, a short-term 401(k) loan, or a Home Equity Line of Credit (HELOC) on their departing residence. Once you're comfortably moved in and your old home officially sells, you can apply those net proceeds to your new loan on your own timeline—triggering the recast and dropping your monthly payment.
With a recast strategy, you are in complete control of finding your new home. Prevent missing out on your dream home by removing risky contingencies!
1Your Current Home (The Sale)
Details about the home you plan to sell.
Est: $25,000
Est: $5,000
2Your New Home (The Purchase)
Details for the new property you want to buy.
Your Potential Monthly Savings
By applying $220,000 to recast your new loan, your payment drops significantly without refinancing.
Initial Cash Needed (Down Payment)
$32,500
Remaining Mortgage Balance (After Recast)
$397,500
Payment Breakdown
Compare your initial payment to your new recast payment.
| Payment Component | Month 1 (Before Recast) | Month 2+(After Recast) |
|---|---|---|
| Principal & Interest | $3,903 | $2,512 |
| Mortgage Insurance (PMI) | $257 | $0 |
| Property Taxes | $333 | $333 |
| Homeowners Insurance | $167 | $167 |
| Total Monthly Payment | $4,660 | $3,012 |
Cumulative Interest Savings
See how much interest you save over the life of the loan.
Want to see if your scenario qualifies?
Connect with our team to lock in this strategy and get pre-approved for your recast loan.
Ready to Build Your Game Plan?
In a competitive real estate market, a structured strategy is the difference between winning your dream home and losing out. By verifying your scenario now, you can make a strong, non-contingent offer with absolute confidence. Let our experts check your numbers and give you the green light!