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#2205206 - 02/06/19 04:24 PM Should this loan be a Home Equity?
LoveHMDA Offline
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Joined: Nov 2005
Posts: 283
I have a customer that lives in an apartment, and he wants to buy a house for his homestead. The new home will be collateral, as well as a piece of property that he owns free and clear that has a mobile home on it. The new home is in one town, and is in a lot and block neighborhood. The additional collateral is outside another town about an hour away, and is on 80 acres. Since the additional collateral is the only property he owns, do I need to treat this loan like a Home Equity?

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#2205225 - 02/06/19 05:48 PM Re: Should this loan be a Home Equity? LoveHMDA
rlcarey Online
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rlcarey
Joined: Jul 2001
Posts: 83,227
Galveston, TX
You are really going to have to ask the title company. Likely, with the existing property being their homestead, they are not going to be able to pledge it for the purchase of new property that would not be considered part of the homestead when the transaction was all said and done, Sounds like the new home is an urban property.
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#2205348 - 02/07/19 03:43 PM Re: Should this loan be a Home Equity? rlcarey
LoveHMDA Offline
Gold Star
Joined: Nov 2005
Posts: 283
Thank you Randy...appreciate your help!

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