Loan to an LLC to purchase a home used as a type of "halfway house". Home is used by temporary residents who definitely have permanent homes elsewhere. However, there is a manager/caregiver who lives permanently on site. Wouldn't that make this loan HMDA reportable?

I don't think so, just like a motel manager living in the motel doesn't make a motel a dwelling or a dormitory supervisor having a permanent living quarters in a dormitory doesn't make the dorm a dwelling.

The purpose of the loan is to own and operate a halfway house with the residence likely not a consideration for the purchase. I'm assuming they would not buy the property if the halfway house was not included?

IMO this is not HMDA reportable as it is transitory housing.

Melissa,
The property is just the one house where the manager lives and assists in the care of the clients as they reside there temporarily with her.

Maybe i overestimate the size/workings of this halfway house. I suppose you could try to extrapolate the 'mixed-use' test here, but i purposely didn't mention that earlier because i figured the halfway house to be more of a philanthropic endeavor with no real "commercial" (money-making) use. Still, if the LLC is purchasing the home, that must mean the care-taker has no actual ownership of the house...i'd still want to call it transitory housing and not report. I think i might look at it differently if the care-taker owned the home and ran the halfway house (perhaps on a very small-scale) themselves.

Thank you both for your help!