Let's say the same situation, except that it IS the principal dwelling of the consumer. Would such a loan be subject to the appraisal and escrow requirements, or is this considered a "temporary" loan? Based on the Official Commentary, it seems that a temporary loan really refers to a "bridge" loan to buy another property. At least the Appraisal exemption part specifies that more clearly. Is it exempt from the Escrow requirement, but not the Appraisal requirements, or would both apply because the exemption does not apply? Does it make a difference if they intend to refinance at the end of the short-term?