Extra principal is never wasted, and there is no reason to wait for a refinance. The two are separate decisions, and paying down now simply means refinancing a smaller balance later. A few mechanics to help you decide: - Prepaying earns a guaranteed return equal to your interest rate, because that is the rate you stop paying. The higher your current rate, the more attractive prepayment looks against cash sitting in a low-yield account. If your rate is low, keeping the money invested or liquid may serve you better. - Extra principal shortens the loan without lowering the required payment. If a lower payment is the actual goal, ask your servicer about a recast, which re-amortizes the smaller balance over the remaining term for a modest fee. - If a refinance is genuinely likely, prepaying costs you nothing. You just show up with a smaller balance to refinance. Two cautions. Watch the blended-cost math on any second mortgage or cash-out, since borrowing more at a higher rate can push your effective overall rate above where you started. And there are tax nuances around acquisition debt versus equity debt worth raising with your tax preparer before you restructure anything. One thing we would add: keep your reserves intact first. An emergency fund in the bank is worth more than a slightly smaller balance, because the money you put into the house is hard and expensive to get back out. If you want this run against your real numbers and goals, that is what the free Roadmap conversation is for, about 20 minutes.