Does Refinancing a Mortgage Extend Loan Term

Refinancing doesn’t reset the repayment term of your loan, but it does replace your current loan with a new loan. You may be able to choose from different offers for your new loan depending on your goals, including a longer or shorter repayment term.

Does refinancing make your loan longer?

Refinancing doesn’t reset the repayment term of your loan, but it does replace your current loan with a new loan. You may be able to choose from different offers for your new loan depending on your goals, including a longer or shorter repayment term.

Does refinancing change the amortization schedule?

Refinance to a shorter loan term Reducing the number of years in your mortgage will “accelerate” your amortization, and pay your loan off quicker. For example, say your current loan balance is $300,000.