If in all of your research, you’ve decided that refinancing your loan isn’t the right choice, but you still want to make some changes, you have some other options.
Mortgage recast. If you’re able, pay a large sum towards your principal payment, and your lender can recast, or recalculate your mortgage payments. Not all lenders provide this service, but using a recast doesn’t extend the term of your loan and can help you remove the PMI portion of your payment.
Loan modification. Sometimes changing the existing terms of your loan is all you need. And if you can prove that you can’t afford to continue your payments as they are, your bank may work with you to modify the loan.
Home equity line of credit (HELOC). If you like the current terms of your loan, but you need some cash, you may consider taking out a line of credit against your home’s equity. It’s less expensive than a full cash-out refinance, and you can do whatever you want with the money.
Dive deeper: Best HELOC lenders