Is it incorrect for a bank to use Home Purchase/Home Improvement mixed-use property guidance in HMDA commentary to determine if an application is a Refinance?

I don't understand???

Thank you for asking for clarification.

HMDA commentary specifically addresses mixed-use property rules within the sections addressing Home Improvements and Home Purchase. For refinances, HMDA commentary is silent with respect to mixed-use property. Would it be correct to apply the Home Improvement/Purchase mixed-use commentary to refinances?

Yes. If the property doesn't qualify as a dwelling under the mixed-use property rules the loan doesn't meet the definition of a refinance.