Is a Borrower Required to Pay the Subsidy Recapture on a Refinance?

Question: Our client would like refinance their USDA loan into a conventional loan.  Do they have to pay the subsidy recapture? Answer: Typically, yes. USDA RD 502 Direct loans are serviced by the Customer Servicing Center (CSC) located in St. Louis, Missouri. Obtaining a “Statement of Loan Balances” letter will assist lenders to determine if […]

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