You'll also keep the original rates of interest on your mortgage. Prior to modifying your home loan, keep in mind to consult with your tax preparer or Certified Public Accountant to figure out the tax effect. Here's when you ought to consider recasting your mortgage. Applying this windfall to your home loan assists lower your regular monthly payments, which enables you to keep more money in your pocket each month.This could be due to a modification to your earnings, assets or credit profile that avoids you from getting approved for a new loan. This can likewise hold true in an increasing interest rate environment, where it's difficult to re-finance at a lower rate than your current mortgage. will need you to make an application for a brand-new loan with a different structure, amortization schedule and rates of interest.