HMDA and Primary Dwellings

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Question:

A borrower owns his primary dwelling free and clear. The borrower wants to take cash out to purchase another dwelling using only his primary dwelling as collateral. Is this loan HMDA reportable?

Answer:

This loan would be reported as a Home Purchase on the HMDA LAR. The bank would report the occupancy status and geocoding information for the home that was securing the loan.

First published on BankersOnline.com 5/16/11