FHA Refunds of MIP           

If you have paid off a FHA loan through the sale of the property or are refinancing from an FHA loan to a non FHA loan, you may be eligible for a fha mortgage insurance premium (MIP) refund if you originated your loan after September 1, 1983, but before December 8, 2004, paid an upfront mortgage insurance premium at closing, and did not default on your mortgage payments.  

There are several exception however, that may apply to your situation.  FHA borrower's that fit into any one of the following situations may not be eligible for a fha refund:

If you do not receive a check or an application for refund from HUD within 45 days after you have paid off your loan, check with your mortgage company to confirm that they have sent HUD a Request for Termination.  If they confirm that the correct termination information was sent, contact HUD.  If you do not receive a refund or any other documentation from HUD within 60 days from the date you mailed your claim form, contact HUD immediately.

Former FHA borrowers who think they might be due a refund can call a toll free number, 1-800-697-6967, or write HUD at P.O. Box 23669, Washington DC 20026-3699. Or you can look for your name with the HUD Refund Search Form 

To calculate your estimated MIP refund, multiply your original upfront mortgage insurance premium with the factor listed in the table below. You may find this number on your final settlement papers. The form is known as a HUD-1. It should be listed on line # 902.

For Mortgages closed on or after December 8,2004.

You will not receive any refund unless your are refinancing to another FHA loan.  Your refund will then be applied towards you new mortgage insurance premium base on the schedule below.

For mortgages closed on or after January 1, 2001:
 

MIP Refund Factors
Year 1		Year 2		Year 3
Month 1	0.9750	Month 13	0.7333	Month 25	0.5333
Month 2	0.9500	Month 14	0.7167	Month 26	0.5167
Month 3	0.9250	Month 15	0.7000	Month 27	0.5000
Month 4	0.9000	Month 16	0.6833	Month 28	0.4833
Month 5	0.8750	Month 17	0.6667	Month 29	0.4667
Month 6	0.8500	Month 18	0.6500	Month 30	0.4500
Month 7	0.8333	Month 19	0.6333	Month 31	0.4333
Month 8	0.8167	Month 20	0.6167	Month 32	0.4167
Month 9	0.8000	Month 21	0.6000	Month 33	0.4000
Month 10	0.7833	Month 22	0.5833	Month 34	0.3833
Month 11	0.7667	Month 23	0.5667	Month 35	0.3667
Month 12	0.7500	Month 24	0.5500	Month 36	0.3500
Year 4		Year 5
Month 37	0.3333	Month 49	0.1625
Month 38	0.3167	Month 50	0.1500
Month 39	0.3000	Month 51	0.1375
Month 40	0.2833	Month 52	0.1250
Month 41	0.2677	Month 53	0.1125
Month 42	0.2500	Month 54	0.1000
Month 43	0.2375	Month 55	0.0833
Month 44	0.2250	Month 56	0.0667
Month 45	0.2125	Month 57	0.0500
Month 46	0.2000	Month 58	0.0333
Month 47	0.1875	Month 59	0.0167
Month 48	0.1750	Month 60	0.0000

For mortgages closed after September 1, 1983 and before January 1, 2001: