Definition of Owner-Occupied

Posted By: EmilyAnn

Definition of Owner-Occupied - 09/30/09 12:19 AM

Does anyone know of a regulatory or otherwise "official" definition of an "owner-occupied" commercial real estate loan?

Thanks!
Posted By: rlcarey

Re: Definition of Owner-Occupied - 09/30/09 12:26 AM

In what regulatory context?
Posted By: EmilyAnn

Re: Definition of Owner-Occupied - 09/30/09 03:18 PM

I think I've found it in the December 2006 Interagency CRE Guidance - "loans secured by nonfarm nonresidential properties where the primary source of repayment is the cash flow from the ongoing operations and activities conducted by the party,
or affiliate of the party, who owns the property."

If you know of any other official definition, please let me know.
Posted By: Dan Persfull

Re: Definition of Owner-Occupied - 09/30/09 05:49 PM

As Randy asked, in what regulatory context?

I buy a condo in FL to rent to vacationers but I stay more than 14 days (and they do not have to be consecutive days) in the condo the condo is considered owner-occupied for Reg Z purposes. For a loan subject to HMDA reporting that same condo is reported as non-owner occupied.