Preferred Credit Union Mortgage Rates, Fees & Info

Grand Rapids, MI

LEI: 254900DOBILWQF3MQ479

Tax ID: 38-1878763

5 stars - Updated: 12/2/24 - out of 5 stars, based on 9 reviews

Latest/2023 | 2022 Data | 2021 Data | 2020 Data | 2019 Data | 2018 Data

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Mortgage Data

Review & Overview

Preferred Credit Union is a smaller credit union specializing in Home Improvement and Home Purchase loans. Preferred Credit Union has a high proportion of conventional loans. Their top markets by origination volume include: Grand Rapids, Ludington, Traverse City, Mount Pleasant, and Lansing among others. We have data for 8 markets. (Some data included below & more in-depth data is available with an active subscription.)

Preferred Credit Union has an average approval rate when compared to the average across all lenders. They have a below average pick rate when compared to similar lenders. Preferred Credit Union is typically a low fee lender. (We use the term "fees" to include things like closing costs and other costs incurred by borrowers-- whether they are paid out of pocket or rolled into the loan.) They typically have relatively high rates.

We show data for every lender and do not change our ratings-- even if an organization is a paid advertiser. Our consensus data does have lag, but it is highly correlated to a lender's rates & fees relative to their markets. This means that if a bank is a low fee/rate lender the past-- chances are they are still one today. Our SimulatedRates™ use advanced statistical techniques to forecast different rates based on a lender's historical data.

Mortgage seekers: Choose your metro area here to explore the lowest fee & rate lenders.

Mortgage professionals: We have various tools to make your lives easier. Contact us to see how we can help with your market research, analytics or advertising needs.

SimulatedRates™

Mortgage Type
Simulated Rate Simulation Date
30 Year Conventional Purchase 6.94% 12/2/24
30 Year Conventional Refi 6.50% 12/2/24
30 Year Cash-out Refi 6.95% 12/2/24
30 Year USDA Purchase 7.99% 12/2/24
15 Year Conventional Purchase 6.25% 12/2/24
15 Year Conventional Refi 5.89% 12/2/24
15 Year Cash-out Refi 5.89% 12/2/24
These are simulated rates generated by our proprietary machine learning models. These are not guaranteed by the bank. They are our estimates based on a lender's past behaviors combined with current market conditions. Contact an individual lender for their actual rates. Our models use fixed rate terms for conforming loans, 700+ FICO, 10% down for FHA and 20% for conventional. These are based on consensus, historical data-- not advertised promotional rates.

Preferred Credit Union Mortgage Calculator






Your Estimates

Estimated Loan Payment: Update the calculator values and click calculate payment!

This is not an official calculator from Preferred Credit Union. It uses our SimulatedRate™ technology, basic math and reasonable assumptions to calculate mortgage payments derived from our simulations and your inputs.

The default purchase price is the median sales price across the US for 2022Q4, per FRED.


Originations

82

Origination Dollar Volume (All Markets)

$5,930,000

Relative Rate

Preferred Credit Union's average 30 year fixed mortgage rate was 6.82%.

The 2023 average 30 year fixed rate mortgage across all markets and lenders was 6.48%.

This yields a difference of 0.34%.

Relative Fees (Closing Costs)

Preferred Credit Union's average total fees/closing costs for a 30 year fixed rate mortgage were $4,544.

The average total origination fees for 30 year fixed rate mortgages across all lenders (for all loan values, including both points & up-front fees in addition to origination fees) were $9,089.

Top Markets

Zoom/scroll map to see bank's per metro statistics. Subscribers can configure state/metro/county granularity, assorted fields and quantity of results. This map shows top 10 markets in the map viewport, as defined by descending origination volume.

Market Originations Total Value Average Loan Average Fees Average Rate
GRAND RAPIDS-KENTWOOD, MI (FHA|USDA|VA) 59 $4,405,000 $74,661 $1,229 7.57%
Outside of Metro Areas 9 $445,000 $49,444 $949 7.46%
Ludington, MI (FHA|USDA|VA) 8 $440,000 $55,000 $1,363 6.97%
Traverse City, MI (FHA|USDA|VA) 1 $245,000 $245,000 $2,921 6.50%
Mount Pleasant, MI (FHA|USDA|VA) 2 $170,000 $85,000 $2,199 7.44%
LANSING-EAST LANSING, MI (FHA|USDA|VA) 1 $155,000 $155,000 $4,886 6.50%
KALAMAZOO-PORTAGE, MI (FHA|USDA|VA) 1 $45,000 $45,000 $0 7.50%
Big Rapids, MI (FHA|USDA|VA) 1 $25,000 $25,000 $0 8.75%
Preferred Credit Union's top markets include Grand Rapids, Ludington, Traverse City, Mount Pleasant, and Lansing among others.

Their top states include:
  • Michigan (FHA|USDA|VA)
  • Similar Lenders

    We use machine learning to identify the top lenders compared against PREFERRED CREDIT UNION based on their rates and fees, along with other useful metrics. A lower similarity rank signals a stronger match.

    United Bank of Michigan
    Similarity Rank: 98
    Adventure Credit Union
    Similarity Rank: 130
    Macatawa Bank
    Similarity Rank: 168
    MICHIGAN SCHOOLS AND GOVERNMENT
    Similarity Rank: 253
    ARBOR FINANCIAL CREDIT UNION
    Similarity Rank: 315
    PFCU
    Similarity Rank: 400
    Isabella Bank
    Similarity Rank: 400
    AAC Credit Union
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    Community West Credit Union
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    Product Mix

    Loan Type Originations Total Value Avg. Loan Avg. Fees Avg. Rate
    Conventional 82 $5,930,000 $72,317 $1,270 7.48%

    For 2023, Preferred Credit Union's most frequently originated type of loan was Conventional, with 82 originations.

    Loan Reason

    Loan Reason Originations Total Value Avg. Loan Avg. Fees Avg. Rate
    Home Improvement 35 $1,625,000 $46,429 $309 7.73%
    Other 19 $815,000 $42,895 $630 7.77%
    Home Purchase 16 $2,340,000 $146,250 $3,698 6.91%
    Cash Out Refi 10 $1,030,000 $103,000 $2,087 7.25%
    Refi 2 $120,000 $60,000 $657 6.25%

    For 2023, Preferred Credit Union's most frequently cited loan purpose was Home Improvement, with 35 originations. The 2nd most popular reason was Other, with 19 originations.

    Loan Duration/Length

    Loan Length Originations Total Value Average Loan Average Fees Average Rate
    15 Year 26 $1,670,000 $64,231 $402 7.82%
    10 Year 21 $765,000 $36,429 $478 7.43%
    30 Year 14 $2,690,000 $192,143 $4,544 6.82%
    Other 12 $370,000 $30,833 $291 7.98%
    5 Year 5 $95,000 $19,000 $282 6.80%
    20 Year 4 $340,000 $85,000 $3,790 7.31%

    For 2023, Preferred Credit Union's most frequently cited loan duration was 15 Year, with 26 originations. The 2nd most popular length was 10 Year, with 21 originations.

    Origination Fees/Closing Costs

    Origination Fee/Closing Cost Originations Total Value Average Loan
    $<1k 66 $3,300,000 $50,000
    $2k-3k 8 $1,470,000 $183,750
    $1k-2k 6 $510,000 $85,000
    $3k-4k 1 $255,000 $255,000
    $4k-5k 1 $395,000 $395,000

    Preferred Credit Union's average total fees were $4,544, while their most frequently occuring range of origination fees (closing costs) were in the $<1k bucket, with 66 originations.

    Interest Rates

    Loan Rate Originations Total Value Average Loan
    7-8% 32 $2,040,000 $63,750
    6-7% 31 $2,835,000 $91,452
    Over 8% 16 $950,000 $59,375
    5-6% 3 $105,000 $35,000

    During 2023, Preferred Credit Union's average interest rate for loans was 6.82%, while their most frequently originated rate bucket for loans was 7-8%, with 32 originations.

    Loan Sizing

    Loan Size Originations Total Value Average Loan Average Fees Average Rate
    $100,000 or less 64 $2,700,000 $42,188 $519 7.64%
    $100k-200k 12 $1,680,000 $140,000 $3,318 6.76%
    $200k-400k 6 $1,550,000 $258,333 $5,193 7.25%

    2023 saw Preferred Credit Union place emphasis on $100,000 or less loans with 64 originations, totaling $2,700,000 in origination value.

    Applicant Income

    Applicant Income Originations Total Value Average Loan Average Fees Average Rate
    $50k-75k 23 $1,465,000 $63,696 $1,472 7.11%
    $100k-150k 18 $1,780,000 $98,889 $1,494 7.78%
    $50k or less 16 $660,000 $41,250 $982 7.20%
    $75k-100k 16 $1,220,000 $76,250 $1,311 7.75%
    $150k-250k 7 $405,000 $57,857 $194 8.25%
    $250k+ 2 $400,000 $200,000 $2,678 6.63%

    Preferred Credit Union lent most frequently to those with incomes in the $50k-75k range, with 23 originations. The second most popular income band? $100k-150k, with 18 originations.

    Applicant Debt to Income Ratio

    DTI Ratio Originations Total Value Average Loan Average Fees Average Rate
    20-30% 35 $2,225,000 $63,571 $1,064 7.49%
    30-36% 16 $1,070,000 $66,875 $1,502 7.29%
    <20% 11 $995,000 $90,455 $1,060 7.03%
    38% 5 $205,000 $41,000 $0 8.10%
    36% 5 $535,000 $107,000 $2,460 7.43%
    37% 3 $95,000 $31,667 $923 8.17%
    43% 2 $520,000 $260,000 $5,879 7.69%
    >60% 1 $35,000 $35,000 $0 7.75%
    39% 1 $15,000 $15,000 $0 7.25%
    40% 1 $25,000 $25,000 $0 7.75%
    42% 1 $155,000 $155,000 $4,413 6.13%
    44% 1 $55,000 $55,000 $0 11.25%

    Preferred Credit Union lent most frequently to those with DTI ratios of 20-30%, with 35 originations. The next most common DTI ratio? 30-36%, with 16 originations.

    Ethnicity Mix

    Applicant Ethnicity Originations Total Value Average Loan Average Fees Average Rate
    White 78 $5,620,000 $72,051 $1,304 7.45%
    Not provided 4 $310,000 $77,500 $609 8.13%

    Approval Rates

    Total approvals of all applications
    79.77%

    Preferred Credit Union has a below average approval rate.

    Pick Rate

    Approvals leading to origination
    32.93%

    Preferred Credit Union has a low pick rate. They may have issues with closing loans or may approve everyone, but with onerous loan terms.

    Points and Fees

    Points Originations Total Value Average Loan
    NA 82 $5,930,000 $72,317

    Occupancy Type Mix

    Dwelling Type Originations Total Value Average Loan
    82 $5,930,000 $72,317

    LTV Distribution

    Loan to Value Originations Total Value Average Loan Average Fees Average Rate
    20-40% 19 $1,055,000 $55,526 $654 7.60%
    40-60% 8 $960,000 $120,000 $2,484 7.11%
    60-80% 10 $1,830,000 $183,000 $3,760 6.98%
    80-100% 5 $755,000 $151,000 $4,443 7.15%
    Under 20% 40 $1,330,000 $33,250 $301 7.68%