You'll also keep the initial rates of interest on your mortgage. Prior to modifying your mortgage, keep in mind to seek advice from your tax preparer or CPA to figure out the tax effect. Here's when you ought to consider recasting your mortgage. Using this windfall to your home loan helps reduce your month-to-month payments, which permits you to keep more money in your pocket monthly.This might be due to a change to your earnings, possessions or credit profile that avoids you from receiving a new loan. This can also hold true in an increasing interest rate environment, where it's difficult to re-finance at a lower rate than your current home mortgage. will need you to obtain a brand-new loan with a different structure, amortization schedule and rate of interest.