Thread Options
#679997 - 02/05/07 08:19 PM Does this loan require a 3 day ROR?
LoveHMDA Offline
Gold Star
Joined: Nov 2005
Posts: 277
I originally posted this question in the HMDA Forum, but I am needing to know if this loan requires a 3 day ROR?
Here is the question....
I have a customer that owns 30+ acres of raw land out in the country. He is going to build his homestead later on, but he is wanting to build a barn at this time. He lives in a rent home; therefore he has no homestead. I believe that I have to consider this loan as a home improvement loan. The loan is for 20 years. Will I have to HMDA it?

Return to Top
Lending Compliance
#680098 - 02/05/07 09:04 PM Re: Does this loan require a 3 day ROR? LoveHMDA
Dan Persfull Offline
10K Club
Dan Persfull
Joined: Aug 2002
Posts: 46,761
Bloomington, IN
If the rental home is not located on the 30 acres then you do not have a HI loan. You are not improving the ground upon which a dwelling is located therefore it does not meet the definition of a HI for HMDA purposes.

It would not be subject rescission either.
Last edited by Dan Persfull; 02/05/07 09:13 PM.
The opinions expressed are mine and they are not to be taken as legal advice.

Return to Top

Moderator:  Andy_Z