We have a loan secured by a house that is used like an apartment building. It contains 12 bedrooms for college students, like a fraternity house. The appraisal was done as a multi family; is the appraisal notice required?

Thanks

it's a two story building with actually 17 bedrooms (not 12) used as student housing. We feel the appraisal requirements do not apply since it's being used as a transitory housing. is this correct?

thanks,

It doesn't fit:

The term "dwelling" means a residential structure that contains one to four units whether or not that structure is attached to real property.

Okay thank you. Some were thinking it did apply because there is only one kitchen used by everyone living there.

Hey Randy...I need some help understanding the term dwelling for Reg B.....

We have a similar loan for a ministry that will be secured by 3 houses that will be used as transitory residences ....each house will provide transitory residence for 8 people....

Two questions:
Does transitory come into play for Reg B's dwelling definition...Reg B does not exclude transitory like HMDA specifically does?

For Reg B...does it matter how a residential structure will be used....if a one unit house is going to house 8 people....that doesn't matter does it? It matters what the structure actually is....is that correct?

Any help explaining this would be appreciated....

I can't edit my post....I wanted to include that I think this is covered by Reg B because transitory is not excluded and the structure itself is a dwelling regardless of how many people will live in it....

I need to know if I'm on track or way off.....

I think you understand. If it is a 1-4 family dwelling - what it is used for and how many people may live in it is not pertinent to Regulation B

Thanks, Randy.....

I've been informed that it is actually a 3 unit building that will provide transitory residence....I still think it applies because its a 1-4 unit residence...do you agree?

I know in a situation where we aren't sure it's best just to follow the rule.....but I just want to make sure I understand this....

Agreed.

Thanks so much, Randy!