Both FNMA & FHLMC indicate the following & they do not mention recording at all.

FNMA:

B2-1.2-05, Payoff of Installment Land Contract Requirements (11/13/2012)

Introduction
This topic contains requirements for the payoff of installment land contracts.

Payoff of Installment Land Contract Requirements
When the proceeds of a mortgage loan are used to pay off the outstanding balance on an installment land contract (also known as contract or bond for deed) that was executed within the 12 months preceding the date of the loan application, Fannie Mae will consider the mortgage loan to be a purchase money mortgage loan.
The LTV ratio for the mortgage loan must be determined by dividing the new loan amount by the lesser of the total acquisition cost (defined as the purchase price indicated in the land contract, plus any costs the purchaser incurs for rehabilitation, renovation, or energy conservation improvements) or the appraised value of the property at the time the new mortgage loan is closed. The expenditures included in the total acquisition cost must be fully documented by the borrower.
When the installment land contract was executed more than 12 months before the date of the loan application, Fannie Mae will consider the mortgage loan to be a limited cash-out refinance. In this case, the LTV ratio for the mortgage loan must be determined by dividing the new loan amount by the appraised value of the property at the time the new mortgage loan is closed.
Cash-out refinance transactions involving installment land contracts are not eligible for delivery.

FHLMC:

4404.1: Land contract; contract for deed (03/02/16)

When the proceeds of a Mortgage are used to pay the outstanding balance under a land contract or contract for deed, the Mortgage may be considered either a purchase or a "no cash-out" refinance Mortgage if the requirements in this section are met.

A copy of the executed land contract or contract for deed must be included in the Mortgage file.

If the proceeds of a Mortgage secured by a Manufactured Home are used to pay the outstanding balance under a land contract or contract for deed, the Mortgage is ineligible for sale to Freddie Mac.

(a) Purchase For the transaction to be considered a purchase transaction:

The land contract or contract for deed must have been executed less than 12 months prior to the Application Received Date
All of the loan proceeds must be used to pay the outstanding balance under the land contract or contract for deed and no loan proceeds may be disbursed to the Borrower
The loan-to-value (LTV) ratio must be calculated using the lesser of the following:
- The current appraised value of the Mortgaged Premises, or
- The total acquisition cost (the purchase price indicated in the original land contract or contract for deed, plus any cost the Borrower has expended for rehabilitation, renovation, refurbishment or energy conservation improvements). The Mortgage file must contain sufficient documentation on which to calculate the total acquisition cost.

(b) "No cash-out" refinance For the transaction to be considered a "no cash-out" refinance transaction:

The land contract or contract for deed must have been executed at least 12 months prior to the Application Received Date
The LTV ratio must be calculated using the current appraised value of the Mortgaged Premises
The Mortgage file must include third-party documentation evidencing payments in accordance with the land contract or contract for deed for the most recent 12-month period
The Mortgage must meet the requirements for "no cash-out" refinance Mortgages in Section 4301.4

Original question:
My client is currently in a land contract that is recorded. Do I have to structure the loan as a refinance or can I treat it as a purchase. Thanks!