---
title: Regulation B Appraisal Requirements & Business Purpose Loans
description: Understand how Regulation B appraisal requirements apply to business purpose loans. Learn why both consumer and commercial credit applications must adhere to these rules when secured by a first lien on a dwelling.
---

[Banker's Compliance Consulting Blog ](https://blog.bankerscompliance.com/en)

# [Regulation B Appraisal Requirements & Business Purpose Loans](https://blog.bankerscompliance.com/en/regulation-b-appraisal-requirements-business-purpose-loans)

 Written by [Jerod Moyer](https://blog.bankerscompliance.com/en/author/jerod-moyer) | Jul 23, 2025 4:10:13 PM

There’s a misconception out there among some lenders that the [Regulation B](https://www.consumerfinance.gov/rules-policy/regulations/1002/) appraisal requirements do not apply to business purpose applications. This is not true. Regulation B applies to both consumer and commercial credit. While there is no exemption based on a loan’s “purpose”, the collateral does matter. Specifically, the appraisal rules apply to …*an* *application for credit that is to be secured by a first lien on a dwelling*. An application to buy a 1-4 family rental home is a perfect example of when the appraisal requirements would apply. Similarly, a loan for business operating expenses that will be secured by a first lien on the borrower’s primary dwelling would also fall under the requirements.

Jerod explains more in the video.

Published  
2025/07/23

 

[View full post](https://blog.bankerscompliance.com/en/regulation-b-appraisal-requirements-business-purpose-loans)

```json
{
  "@context" : "http://schema.org",
  "@type" : "BlogPosting",
  "author" : {
    "@type" : "Person",
    "name" : "Jerod Moyer"
  },
  "dateModified" : "2025-07-23T16:10:13.787Z",
  "datePublished" : "2025-07-23T16:10:13Z",
  "headline" : "Regulation B Appraisal Requirements & Business Purpose Loans",
  "image" : {
    "@type" : "ImageObject",
    "height" : 2048,
    "url" : "https://21201105.fs1.hubspotusercontent-na1.net/hubfs/21201105/Business%20Purpose%20Loans.jpeg",
    "width" : 2048
  },
  "mainEntityOfPage" : "https://blog.bankerscompliance.com/en/regulation-b-appraisal-requirements-business-purpose-loans",
  "publisher" : {
    "@type" : "Organization",
    "logo" : {
      "@type" : "ImageObject",
      "height" : 60.0,
      "url" : "https://fs.hubspotusercontent00.net/hubfs/21201105/Bankers_Compliance_Consulting_Logo%20copy%202.jpg",
      "width" : 310.30304
    },
    "name" : "Banker's Compliance Consulting Blog"
  }
}
```