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#2058608 - 01/14/16 03:25 PM Purchase of a church & turn into residential facil
Catm1991 Offline
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Joined: Jul 2014
Posts: 194
MO
Would this be HMFDA reportable? I have an application where the customer wants to purchase a church building and then turn it into a 8 bed residential facility. Would this be HMDA applicable?

Thanks.

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#2058613 - 01/14/16 03:46 PM Re: Purchase of a church & turn into residential facil Catm1991
David Dickinson Offline
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David Dickinson
Joined: Nov 2000
Posts: 18,762
Central City, NE
You always look at what the building will be once the funds are applied. If you understand the "church" will become a residence, then it sounds like a HMDA purchase.

Likewise, if someone is buying a house and turning it into an office/business, then it's no longer a dwelling. IOW, it's not what it is. It's what it will become with your loan.
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David Dickinson
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#2058627 - 01/14/16 04:03 PM Re: Purchase of a church & turn into residential facil Catm1991
Catm1991 Offline
100 Club
Joined: Jul 2014
Posts: 194
MO
Ok, that is what I was thinking as well. Thank you David.

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#2058658 - 01/14/16 04:54 PM Re: Purchase of a church & turn into residential facil Catm1991
Colorado Girl Offline
Member
Joined: Mar 2013
Posts: 67
One step further, you'll need to determine that the 8 bed residential facility won't be transitory in nature, and thus exempt from HMDA reporting.

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