What are the requirements and documents needed for a recast?
- At least six months have passed since the loan’s origination date.
- Borrowers need to wait until the loan is sold to determine if the Investor (new owner of the loan) allows recasts. Not all types of mortgages qualify for recasting.
Ineligible loan types include:
- Held for Sale and Government-backed loans such as, FHA, VA, USDA, and Ginnie Mae loans.
- Custom Construction, and Manufactured Construction loans.
- You must meet minimum principal reduction standards. The Investor on your loan requires for you to pay a minimum amount towards the principal balance. This payment must be made at one time and cannot be made in multiple payments or over a period of time.
- Fannie Mae, Freddie Mac, and Portfolio Loans must pay the principal balance down by a minimum of $10,000.
- FHLB Loans must pay the principal balance down by the greater of $5,000 or 10% of the current Unpaid Principal Balance (UPB).
- Pay a non-refundable $250 recast fee. See below for recast fee payment options.
- You are in good standing and current on your mortgage loan payments.
- You have not requested a recast of your mortgage loan once in the last 12 months.
To request a Recast, please send an email to MortgageLoanServicing@fsbwa.com or give us a call at (800) 683-0973