How should we report an Open Market HomeBuy scheme, where the loan consists of both a conventional mortgage loan and an equity loan?
In line with past PSD guidance, we would expect firms to report the entire loan amount in the size of loan data field, but the characteristics applicable to the largest portion of the loan should be reported (in this case the conventional mortgage piece). If both portions of the loan (the equity loan and the conventional mortgage) are the same the lender can choose which element to report but the entire loan amount would still need to be reported. “SA = the loan is a shared appreciation mortgage” should be completed in the Mortgage Characteristics data field, and “F = First time buyer” or “M = Home movers (2nd or subsequent buyers)” should be completed in the Type of borrower data field.
