Is a mobile home loan without land applicable to HOEPA? It is the customers principal dwelling.

THanks,

Yes.

Because a manufactured home loan (without the land) is not subject to RESPA (not a "federally related mortgage loan"), it will not be required to receive the list of homeownership counseling organizations, right?

We give it to all consumer dwelling loans.

Unless there's dirt in your security, RESPA won't apply, so that requirement won't apply, either.

When I read through the Bureau's latest contribution to our collective insanity -- the October 15, 2013 interim final rule -- I immediately thought of this thread.

With respect to a loan secured by a dwelling that is a manufactured home, if the security interest does not include real estate, the loan will not be subject to RESPA and the requirement for distribution of the list of homeowner counseling organizations, which is found in section 1024.20 of Regulation X, will not apply.

HOWEVER, if the manufactured home is or is to be the consumer's principal dwelling, and if it trips any of the triggers for coverage as a high-cost mortgage loan under section 1026.32 of Regulation Z, it will be subject to the prohibitions in section 1026.32(d) (most notably, the prohibition on prepayment penalties). It will also be subject to the extra disclosure requirements found in 1026.32(c), which, according to section 1026.31, are supposed to be provided at least three days prior to consummation.

AND, it will be subject to applicable requirements of 1026.34, including the requirement in 1026.34(a)(5) for pre-loan counseling. Under the newest wrinkle amendment (10/15/13) from the Bureau, questions about the timing of that counseling have been resolved, although not in a particularly satisfactory way. Because the loan isn't subject to RESPA and isn't a HELOC subject to 1026.40, both of which call for early disclosures, the Bureau has decided that the counseling must be based on the terms provided in the section 1026.32(c) disclosure.

Since the 1026.32(c) disclosure can be given as late as three days before consummation, there isn't much time to notify the consumer of the counseling requirement or for that counseling to be obtained. So the Bureau presents as a solution this sentence in new Comment 34(a)(5)(ii)-2: "The creditor may wish to furnish the disclosures sooner, to provide sufficient time for counseling and certification." That's followed by Comment 34(a)(5)(ii)-3: "Counseling may occur after receipt of either an initial disclosure required by section 5(c) of RESPA, the disclosures required by § 1026.40, or the disclosures required by § 1026.32(c), regardless of whether revised versions of such disclosures are subsequently provided to the consumer."