Loan Profile: $400,000 Balance • 6.750% Note Rate • $50,000 Curtailment • JPMorgan Chase Bank, N.A.
| Amortization Metric | Baseline Note | Post-Recast Note | Net Household Advantage |
|---|---|---|---|
| Principal Balance | $400,000.00 | $350,000.00 | -$50,000.00 Curtailment |
| Monthly Principal & Interest (P&I) | $2,652.91 | $2,321.29 | -$331.62/month Relief |
| Remaining Loan Term | 336 Months | 336 Months | Term Preserved (Not Reset) |
| Note Interest Rate | 6.750% | 6.750% | Preserves Low Fixed Rate |
| Total 30-Year Interest Obligation | $491,377.76 | $429,953.44 | -$61,424.32 Eliminated |
| Upfront Transaction Cost | $0.00 | $0.00 | $0 Servicer Admin Fee |
| Expense Category | Traditional Refinance | RateRecast Execution | Net Savings |
|---|---|---|---|
| Lender Origination / Processing Fees | $1,450.00 | $0.00 | Saved $1,450 |
| Lender Title Insurance & Escrow Policy | $1,600.00 | $0.00 | Saved $1,600 |
| Full Certified Home Appraisal | $650.00 | $0.00 | No Appraisal Required |
| County Recording & Transfer Taxes | $550.00 | $0.00 | Saved $550 |
| Credit Report & Underwriting Fees | $150.00 | $0.00 | Zero Hard Credit Pull |
| Administrative Servicer Recast Fee | $0.00 | $0.00 | One-Time Fee |
| Tax Status / Asset Class | Effective Tax Rate | Equivalent Net Yield | Analytical Recommendation |
|---|---|---|---|
| Standard Deduction (Tax-Free) | 100% Tax-Free | 6.750% Guaranteed | No Schedule A tax drag; 100% of interest savings go directly into net worth. |
| Itemized Schedule A (24% Fed + 5% State) | 29.0% Deduction Offset | 4.792% After-Tax Net | Tax shield reduction accounted for in net wealth accumulation model. |
| Treasury Bills Yield Benchmark | State Tax Exempt Only | 5.00% Pre-Tax | Requires a minimum guaranteed pre-tax yield of 8.88% to break even. |
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