This is answered in Regulation Z. See Section 1026.3(a), comment 3(a)-3.ii.
Business Purpose or Consumer Purpose? Home Improvement Loan
If a borrower requests a home improvement loan for the purpose of adding office space to his home, to allow him space for legal and security work, would this be a business purpose loan, or would it be considered a consumer purpose loan?
First published on 06/24/2018