Recast Guidelines - Retained Servicing

Customers whose loans are retained serviced with our subservicer, ServiceMac, branded as Fairway may request a recast on their loan based on meeting the requirements listed below.  Eligible customers must submit the form to begin the process.  

Click Here to view and print a copy of the form which may be provided directly to retained servicing customers.

Retained Servicing Recast Guidelines
ServiceMac Retained Serviced as Fairway
Most loans board directly to ServiceMac systems (no servicing transfer) approximately 10 days after closing
Recast Eligibility
 Required waiting period before ability to request a Recast
After 1st Payment at ServiceMac
Recast Fee$250
Minimum Curtailment$10,000
Estimated Completion After Recast Process Starts4 to 6 Weeks
Investor/Loan Type Permitting RecastsConventional Fannie Mae and Freddie Mac
Recasts may only be performed on Conventional loan types if permitted by the servicer/subservicer.  Recasts cannot be performed on FHA, RHS or VA loan types.
This list includes servicers Fairway transfers loans to who have made us aware of their recast guidelines.  There may be other servicers/subservicers who do not permit recasts.  Not all Servicers perform recasts, and servicers/subservicers may change their recast guidelines at any time without notifying Fairway.  
Guidelines and requirements vary by servicer.  Customers must contact their current servicer for details.
Common Recast Requirements Include:
1. Loan may not have had a previous modification
2. Loan may not be delinquent on monthly payments or in an active bankruptcy status
3. The loan may not be Interest-Only - During the interest-only period it is not necessary to request reamortization
4. Adjustable Rate Mortgages must be greater than 6 months from an interest rate adjustment
5. Servicers may limit the number of recasts permitted during the life of the loan
6. The recast process is a formal modification to the mortgage loan and extended required processing times may apply
Recast Processing and Completion Timeframe:
The estimated completion time starts after the Recast Eligibility time has passed AND customers successfully request the recast in accordance to servicer guidelines.
PMI Removal after a Recast Occurs:
For retained servicing loans with our subservicer, ServiceMac, eligibility for PMI removal is reviewed when a recast is approved and completed.  A separate request for PMI removal is not required.

This communication is for internal use to provide you with information to assist your customers.  This is not approved to post on social media.