We have a loan to purchase a home. In the approval request, the collateral is listed as the home being purchased and the guarantor's personal residence. When the documents were created, the collateral listed on the note is a mortgage for the property being purchased and guarantor signed a secured guaranty which is secured by his personal residence.

In the approval request, since both properties were used in calculating the LTV, we were reporting the combined LTV and property value of both properties. The address being reported is the property being purchased. We are stuck with the number of units- report 1 because there is only one property listed as collateral on the note or report 2 because that's what was in the approval request.

I'm interested in whether we've done right with the LTV and value, also thoughts on the number of units.

Thanks!

What property values you rely on in making the credit decision is a business decision. But that is what you report.

Official Interpretation

Paragraph 4(a)(28).

1. General. A financial institution reports the property value relied on in making the credit decision