We have a second mortgage on a dwelling.

Borrower is refinancing 1st mortgage, and the lender is going to release our lien for a short period of time and have an unsecured loan. We will then be doing a new loan that will payoff our original loan (started as dwelling secured and then after lien release became unsecured). The loan will only be unsecured for about a week.

Would that new loan be considered a refinance, since at the time of pay-off, the loan is unsecured? I don't think it would meet the definition, but would like anothr opinion.

P.S. There is a logical reason why we are doing this, although it may not appear that way from the question.

Thanks

It would not meet the definition of a refinancing.