What is a Recast?

The mortgage recast process allows a customer to make a lump sum payment on the unpaid principal balance in order to reduce the monthly mortgage payment. The lender then recalculates the monthly payment based on the lower unpaid principal balance, using the same interest rate and term under the original mortgage. A recast ONLY modifies the principal and interest portion of the payment. The interest rate, maturity date and escrow portion of the payment are NOT affected.

What type of loan is eligible for a Recast and what are the requirements?

The following loan products are not eligible for a recast:

  • Federal Housing Administration (FHA) Loans
  • Veterans Affairs (VA) Loans
  • Government National Mortgage Association (GNMA) Loans
  • Bond Loans

Other requirements:

  • The loan must be paid current.
  • The recast process cannot commence within 60 days from the date the loan closes.
  • The recast process can only be performed once in a 12 month period.*
  • A principal reduction payment of $5,000 or more is required.
  • The recast process must be requested within 60 days of the principal reduction payment.
  • The first monthly payment following the principal reduction payment must be made at the regularly scheduled amount; thereafter, the reduced principal and interest payment amount will be due.
  • A form or application is not required to begin the recast process; however, the signed recast agreement must be received prior to executing the recast.
  • A program processing fee must be paid in the amount of $250, where applicable**.

    * Caliber Portfolio loans originated after 7/24/18 are limited to one recast during the life of the loan.
    ** A recast fee is not applicable in all states.

What is the process for obtaining a Recast?
  1. Contact Caliber Customer Service to request the mortgage recast.
  2. A principal reduction payment in amount of $5,000 or greater must be made.

    This can be made via bank wire, by check, through Caliber's web site or over the phone with a customer service agent. Payment by phone or web may be subject to fees. Please see below for additional payment instructions.

  3. Remit the next monthly payment at the regularly scheduled amount.

    Within five (5) business days of the monthly payment posting, Caliber will generate the agreement reflecting the new principal and interest payment. This agreement will be submitted to you for required signatures via email or regular mail.

  4. Return signed agreement to Caliber. The original signed agreement must be returned via regular mail before the due date on the agreement.
  5. If recast fee is applicable, the fee can be paid at any time, but must be paid prior the execution of the recast.

    The fee can be made via bank wire, by check or over the phone with a customer service agent. Payment by phone may be subject to fees. Please see below for additional payment instructions.

  6. Once Caliber has received the signed agreement and recast fee, if applicable, the new principal and interest payment will be finalized. A billing statement reflecting the new payment will be generated and a copy of the executed agreement will be mailed to you for your personal records.
What are my options for paying the principal reduction payment and, if applicable, the recast fee?
  1. By Bank Wire

    **Please reference your name and loan number on the wire instructions.**

    Company name: Caliber Home Loans, Inc.
    Bank Name: Bank of America
    Bank Address: 2000 Clayton Rd., Concord, CA 94520
    Account Number: 1291063793
    ABA Routing Number: 026009593

  2. By Check

    Payment mailing address:
    Caliber Home Loans, Inc.
    Attn: Recast
    P.O. Box 272556
    Oklahoma City, OK 73137-2556

    Overnight payment mailing address:
    Caliber Home Loans, Inc.
    Attn: Recast – Cash Operations
    13801 Wireless Way
    Oklahoma City, OK 73134

  3. By Phone

    Call 800-401-6587

  4. Online

Still Have Questions?

Call Caliber Servicing at 800-401-6587.
Our friendly Customer Service representatives are ready to assist you
from 8:00 AM to 7:00 PM CST, Monday through Friday.

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