Mobile Home Purchase

Posted By: Nicole

Mobile Home Purchase - 11/17/21 10:21 PM

Hello

We have a loan request to purchase a mobile home and a debt consolidation, borrower already owns the property. On the LE the purpose should be purchase correct? As for disclosing the title - owner's policy since the borrowers already own the property should we disclose?

Thank you in advance!
Posted By: raitchjay

Re: Mobile Home Purchase - 11/17/21 10:31 PM

Your TRID purpose isn't purchase if he already owns the dirt....sounds like a home equity loan based on the information provided. I would see no need for OTI since he already owns the property.
Posted By: raitchjay

Re: Mobile Home Purchase - 11/17/21 10:32 PM

(9) Purpose. The consumer's intended use for the credit, labeled “Purpose,” using one of the following terms:

(i) Purchase. If the credit is to finance the acquisition of the property identified in paragraph (a)(6) of this section, the creditor shall disclose that the loan is for a “Purchase.”


And here's how (a)(6) reads:

(6) Property. The address including the zip code of the property that secures or will secure the transaction, or if the address is unavailable, the location of such property including a zip code, labeled “Property.”