Is a loan in the amount of $1 million or less that is secured by MULTI-FAMILY property considered a small business loan for CRA reporting purposes?

No, it's a HMDA loan. It may also be a CD loan depending on the purpose, collateral, and borrower.

Thanks!

Well,it is HMDA if it meets a HMDA purpose (purchase, home improvement, refinance).

If the mortgage is just a collateral mortgage for a non-HMDA purpose and the lien is not securing > 50% of the loan or is abundance of caution, it can be small business.

^^^ true. I tend to forget about those <50% liens.

They don't come off often but if there is other collateral it is possible. So, just for the sake of accuracy and education I mentioned it.