HUD Refund Trace

You may be eligible for a refund of a portion of the mortgage insurance premium on loans acquired after September 1, 1983, if you
paid an up-front fee at closing and did not default on your mortgage payments. You may also be eligible for a share of any excess earnings from the Mutual Mortgage Insurance Fund on loans originated before September 1, 1983, that have been paid on for more than seven years and had your FHA insurance terminated before November 5, 1990.

Each year the Federal Housing Administration (FHA), the government agency which insures mortgages made by local lenders, estimates the number of defaults it will likely experience. Based on this prediction, it sets the insurance premium home buyers pay during the year. If fewer defaults occur than predicted, borrowers share in the funds remaining via HUD Mortgage Insurance Premium (MIP) Refunds and Distributive Shares, a portion of the excess earnings from the Mutual Mortgage Insurance fund.

Because many homeowners fail to notify HUD of a new address after a move (the US Postal Service will only forward mail for a six-month period, followed by a six month period of address correction), tens of thousands of homeowners and those who have sold homes with FHA insured mortgages are entitled to unclaimed HUD refunds worth hundreds of millions of dollars.

Refunds average between $800 - $1500 per homeowner. These amounts are not listed in state unclaimed property databases as they are issued by HUD, an agency of the U.S. federal government, and amounts due and owing by federal agencies are exempt from state reporting. Be aware some unscrupulous 'asset finders' specialize in locating lost homeowners for an exorbitant fee, often as much as 50% of the total refund. For claims information and a search of the HUD unclaimed refund database online complete the form below.