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HMDA Getting It Right Manual

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Question: 
The HMDA - Getting It Right manual states if a loan is a home improvement loan as well as a refinancing, an institution reports the loan as a home improvement loan. Does this apply to commercial, multiple-category loans as well, where the proceeds are used primarily to refinance? And if the borrower owns multiple apartment buildings, and uses the residual proceeds to improve a different apartment property, would you still categorize the original borrowing (the one used PRIMARILY for refinance) as home improvement?
Answer: 

Yes, this applies to all loans. In all cases, if any part of proceeds are for a purchase, report as a purchase. If any part of proceeds are for home improvement, report as home improvement.

If neither purchase or home improvement, then it will be a refinance.

First published on 05/04/2015

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