If you’re like most people, you want to receive all the money you’re owed by the government. The amount of the refund may not always matter, but the truth is, thousands of people across the country have HUD refunds that creep into high amounts.
HUD uses something called an FHA MIP refund chart to determine your refund amount. The amount you get back depends on a few factors. Continue reading to see how you can estimate your refund.
If you’re expecting a refund of your mortgage insurance, you probably want to know how much you can get back. Two tools can make this very easy: the MIP refund chart and an MIP refund calculator.
The FHA MIP refund chart consists of two columns, the first one containing the number of months after your closing date and the second one containing a refund percentage. Find the number of months and locate the corresponding percentage.
Once you have this information, you can use a PMI refund calculator. Calculators require the following information:
- The original UFMIP amount you paid
- This number should be listed on your loan documents.
- The number of months after your closing date
- Your refund percentage of the UFMIP you paid
Otherwise, you can calculate your HUD mortgage insurance refund by multiplying the original UFMIP amount by your refund percentage.
For example, if your original MIP amount was $2,000 on a loan that closed 12 months ago, then your qualified refund percentage is 58 percent (according to the FHA MIP refund chart). Your MIP refund amount would be $1,160 ($2,000 x 0.58).