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#1656108 - 01/25/12 10:29 PM Do we need RESPA or not?
Marmaduchess Offline
100 Club
Marmaduchess
Joined: Oct 2009
Posts: 175
Oregon Coast
I have a loan for a commercial property (motel/RV park) that includes a house that the borrower wants to use as their primary residence. Do I need RESPA because they are going to live in the house or is this strictly considered a commercial loan?

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Lending Compliance
#1656206 - 01/26/12 02:00 PM Re: Do we need RESPA or not? Marmaduchess
Dan Persfull Offline
10K Club
Dan Persfull
Joined: Aug 2002
Posts: 47,530
Bloomington, IN
It depends on the purpose of the loan - business or consumer.

Review 3500.5.
_________________________
The opinions expressed are mine and they are not to be taken as legal advice.

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#1656627 - 01/26/12 07:55 PM Re: Do we need RESPA or not? Marmaduchess
Marmaduchess Offline
100 Club
Marmaduchess
Joined: Oct 2009
Posts: 175
Oregon Coast
Dan: It will be business purpose. So I'm overthinking this, aren't I?!! No RESPA even though they will live in the house.

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#1656662 - 01/26/12 08:10 PM Re: Do we need RESPA or not? Marmaduchess
Dan Persfull Offline
10K Club
Dan Persfull
Joined: Aug 2002
Posts: 47,530
Bloomington, IN
Business purpose loans are exempt from both RESPA and Reg. Z.
_________________________
The opinions expressed are mine and they are not to be taken as legal advice.

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