How to Classify Home Improvement Not Owner Occ.

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Question:

If a person borrows money to do home improvements to a home they do not own but will be renting; is that reportable as home improvement - not owner occupied? We classify and report all of our unsecured home improvement loans.

Answer:

The loan as you describe it and your reporting policy would be a reportable home improvement loan.

The occupancy status is always based on the property being reported on the LAR. In this case non-owner occupied.

First published on BankersOnline.com 9/24/12