Who gets the MIP refund if a home is sold by assumption?

When an FHA insured loan is assumed, the insurance remains in force (the seller receives no refund). The owner(s) of the property at the time the insurance is terminated are entitled to any refund.

To verify property owner information and to acquire MIP refund information call 1-800-697-6967.

For more information go to:

https://entp.hud.gov/dsrs/help/fhafacts.cfm

and

https://entp.hud.gov/dsrs/refunds/

All policy information contained in this knowledge base article is based upon the referenced HUD policy document. Any lending or insuring decisions should adhere to the specific information contained in that underlying policy document.


Topic Number: KA-01479