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How do I process a case number cancellation?

The lender must notify the appropriate FHA Homeownership Center in writing to close outstanding files and cancel the FHA case number if the origination and closing of a loan will not be completed or if FHA mortgage insurance endorsement will not be sought.

Please note that you cannot request a case number cancellation for an endorsed (insured) loan or for a case number that your company does not hold.
Written requests should include the reason for cancellation and any supporting documentation.

If MIP funds have been paid, the lender must request a refund of all monies paid once the cancellation has been processed.

Generally speaking, case numbers will remain with the property. Should a sale fail to close, the lender should update the borrower information if originating a new loan for subsequent purchasers or transfer the case number to a new lender if requested. Case numbers will not be canceled to facilitate obtaining a new appraisal prior to its expiration.

Requests for case cancellation can be emailed to answers@hud.gov
Please include your lender name, email address, telephone and contact information, and case number. Please do not send a request multiple times. Include “Case Cancellation” and the FHA Case Number in the subject line.
Please attach a completed Case Cancellation Request form and follow the instructions on the form.
The form can be located at http://portal.hud.gov/hudportal/HUD?src=/program_offices/housing/sfh/talk/sfh_case_processing


Handbook 4155.2: 1.A.2, 1.D.4
http://portal.hud.gov/hudportal/HUD?src=/program_offices/administration/hudclips/handbooks/hsgh



REFERENCE

Handbook 4155.2: 1. A.2, 1.D.4


REFERRAL LOCATION


DISCLAIMER

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.