I have a loan where a company is purchasing condos to rehab and will rent out the units. The loan officer thinks it isn't reportable, I say it is, who is correct?
These are 1-4 family units.

I would report it as a purchase loan, as long as it is also being secured by a dwelling.

FWIW - I agree.

Why on earth would the loan officer think this does not meet the definition of a home purchase under HMDA?

The loan definitely appears to qualify as a home purchase if, as #12 said, the loan is secured by a dwelling.

That seems to be a loan officer's goal- not to have a HMDA reportable loan. Too much additional information to document.