We have a customer that wants to do a otherwise Right of Recission type loan, using his mobile home. The only catch is his 100% corporation owns the home.

If the loan is made to the corporation, Reg Z (and therefore, rescission) will not apply. Reg Z does not apply to loans that are made to someone other than a natural person.

no, he is an individual, living in a mobile home owned by his corporation.

There was a similar discussion here. If the individuals have no ownership in the home, there's no rescission (contrary to my post in the linked thread).

226.23 "(1) In a credit transaction in which a security interest is or will be retained or acquired in a consumer's principal dwelling, each consumer whose ownership interest is or will be subject to the security interest shall have the right to recind the transaction."

1) Is the loan to a consumer? Yes
2) Is the security the principal dwelling? Yes
3) Will the consumer's ownership interest be subject to the security interest? No! The consumer in this example has no ownership interest in the principal dwelling, since it is owned by a corporation.

If the home was owned by by a consumer, even a consumer different from the borrower AND it was their prinicpal dwelling AND they were giving a security interest in it to secure the loan of another, the owners of the home would need to be given ROR.

In order for Right of Recission (ROR) to apply, ALL THREE answers MUST be Yes. If any answer is no, then ROR does not apply.

Hope this helps.