Refinanced Home Loan and Purchase of Add'l property next to home

[dkclick]

Refinanced mortgage in 2022.  Paid off original mortgage and purchased add'l land next to our home.  When asked if we used it for something besides paying off the original mortgage, the answer is yes.  But, it is land attached to our previous property, so want to make sure that the answer is still yes.

[Vanessa A]

You are correct. The answer would be yes that you used it for something else.

Since the land was not part of the home, it would not be part of the buy, build, or substantially improve your home.  It would actually be a separate lot from the home that secures the loan if you were able to purchase it separately.