Borrowers refin current mortgage and take out additonal funds for home improvements and to purchase additional investment property. Per loan write up, bulk of additional funds will be used for repairs to property. Additional funds are $140,000.
Is this coded HI or Purchase?

If any portion of the proceeds are used for a home purchase then it is reported as a home purchase. A home purchase takes precedence over home improvement and/or refinancings.

Even though we do not have a property at this time. Funds are to be kept available if they run across a suitable investment property-residential.

That would have been a very useful piece of information in the original post.

How is the loan structured? IOWs how will the money be disbursed for the HI, and the purchase if and when a suitable property is located?

Proceeds after payoff of current mortgage and other loan payment, were given to customer. Per loan writeup, bulk of the money is for repairs to subject building, tuckpointing, etc. A SFR to be purchased for investment has not been identified. Cust. rec'd 141,000 to cover repair work and have some extra funds.

I would still report this as a home purchase; and since the home being purchased does not secure the loan you report the property information on the property that does. For the purpose of the loan, refer to page D-10:

An institution may rely on the oral or written statement of an applicant regarding the proposed use of loan proceeds.

Thank you - no wonder HMDA has become such a major production in all of our lives.