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#2108244 - 11/22/16 02:17 PM PreApproval
Cat Lover Offline
100 Club
Joined: Jun 2016
Posts: 147
Does a purchase of a multifamily building, fall under "home purchase" for preapproval reporting purposes. Or should it be reported as a "3 "not applicable"

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#2108432 - 11/23/16 12:28 PM Re: PreApproval Cat Lover
David Dickinson Offline
10K Club
David Dickinson
Joined: Nov 2000
Posts: 18,762
Central City, NE
Yes, I believe a request for a pre approval of a multifamily building is still a purchase. I'm curious why you might think it's "not applicable"? Is there something in the following that you are questioning?

From Appendix A, A.8.
8. Request for Preapproval of a Home Purchase Loan. Indicate whether the application or loan involved a request for preapproval of a home purchase loan by entering the applicable Code from the following:

Code 1--Preapproval requested
Code 2--Preapproval not requested
Code 3--Not applicable
a. Enter Code 2 if your institution has a covered preapproval program but the applicant does not request a preapproval.
b. Enter Code 3 if your institution does not have a preapproval program as defined in Sec. 1003.2.
c. Enter Code 3 for applications or loans for home improvement or refinancing, and for purchased loans.
_________________________
David Dickinson
http://www.bankerscompliance.com

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