Skip to content
BOL Conferences
Thread Options
#1873729 - 11/22/13 06:22 PM Owner Occupancy
Bec Offline
Diamond Poster
Bec
Joined: Jul 2010
Posts: 1,115
The Great White North
I looked on the threads and couldn't find an answer, probably because this question is really dumb...please bear with me.

I have a construction to permanent one-step loan. What is the correct way to report occupancy? I am getting confused because they are not going to live it the dwelling as it is being built but then they will be living in it after the construction phase. When reporting for HMDA is it that snapshot in time, or do we have to consider the permanent?

Thanks
_________________________
Go Packers

Return to Top
HMDA

   
HMDA Academy
#1873743 - 11/22/13 06:57 PM Re: Owner Occupancy Bec
raitchjay Online
Power Poster
Joined: Oct 2009
Posts: 9,088
OK
We don't do combined construction-perm loans, but if we did, i'd report the planned occupancy upon completion.....after all, if you considered the construction phase alone, the loan wouldn't even be reportable. Hope that helps.
_________________________
I'm fixin' to fix that.

Return to Top
#1873835 - 11/22/13 09:18 PM Re: Owner Occupancy Bec
MMontjoy01 Offline
Junior Member
MMontjoy01
Joined: Apr 2008
Posts: 47
NC, USA
We do combined construction to perm loans and we report the occupancy status for the permanent part of the loan. If your loans are like ours, it typically is owner occupied.

Return to Top
#1873887 - 11/22/13 10:11 PM Re: Owner Occupancy Bec
Dan Persfull Online
10K Club
Dan Persfull
Joined: Aug 2002
Posts: 47,517
Bloomington, IN
From the GIR:

Indicate whether the property to which the loan or loan application relates is to be owner-occupied as a principal residence . . .
_________________________
The opinions expressed are mine and they are not to be taken as legal advice.

Return to Top
#1877360 - 12/10/13 04:41 PM Re: Owner Occupancy Bec
Bec Offline
Diamond Poster
Bec
Joined: Jul 2010
Posts: 1,115
The Great White North
Thank you for your responses!
Another question tied to this scenario.
What term would you use for rate spread? Would you use only the initial construction phase, only the permanent phase or the whole thing added together?

Thanks again for your help
_________________________
Go Packers

Return to Top
#1877403 - 12/10/13 05:52 PM Re: Owner Occupancy Bec
Dan Persfull Online
10K Club
Dan Persfull
Joined: Aug 2002
Posts: 47,517
Bloomington, IN
_________________________
The opinions expressed are mine and they are not to be taken as legal advice.

Return to Top
#1877428 - 12/10/13 06:18 PM Re: Owner Occupancy Bec
Bec Offline
Diamond Poster
Bec
Joined: Jul 2010
Posts: 1,115
The Great White North
Thank you Dan!
You'd think as much time as I spend on here I would be able to search effectively. STill have my issues.
_________________________
Go Packers

Return to Top

Moderator:  SMQ, CRCM