I have a loan to a developer where 4 residential properties are the collateral. 3 of the properties will be sold and the 4th property is the guarantor's primary resident. The purpose of the funds were for construction cost overruns on the 3 residential properties that are being sold.
I was originally thinking that loan would not be HMDA reportable under temporary financing, because the loan is a construction loan to developer to build and sell. I am hung up on the fact that we also took the guarantor's primary residence as additional collateral due to LTV/CLTV ratios.
Please advise if is HMDA as Home Improvement or not HMDA reportable.
#2245755 - 11/20/2007:45 PMRe: Is this HMDA Reportable Somer
raitchjay
Power Poster
Joined: Oct 2009
Posts: 9,105
OK
The presence of an additional piece of collateral in the form of the builder's primary residence doesn't change the exemption.....still exempt and not reportable.