You just finished closing the sale of your home or just refinanced your existing mortgage and you’ve heard that you might be in line for a mip refund. If you had an FHA-insured mortgage, you may be eligible for a mip refund from HUD/FHA. Review your settlement papers and check with your mortgage company to see if you paid an insurance premium during closing. You may be eligible for a mip refund of a portion of the insurance premium if you acquired your fha secured loan after September 1, 1983, paid an up front mortgage insurance premium at closing and did not default on any of your mortgage payments. The process of getting your refund should be simple but might take some time. Your mortgage company notifies HUD of the termination of the FHA secured mortgage insurance and if you are eligible for a mip refund, they will either request that the Department of the Treasury send you a check directly or provide you with an Application for Premium Refund so that you can provide HUD with additional information about your case. If you have the luck to receive a form, read and complete the application carefully, sign it, have it notarized, and return it to HUD along with proof that you were the owner of the property at the time that the insurance was terminated. As you can see getting your mip refund is not difficult but it might get to you as fast as molasses.
