Boeing Employees' Credit Union (becu)

TUKWILA, WA 98168

LEI: 549300KM40FP4MSQU941

Tax ID: 91-0219435

2019 Data | 2018 Data


Overview

Boeing Employees' Credit Union (becu) is a small mortgage company specializing in Home Purchase and Refi loans. Boeing Employees' Credit Union (becu) has a high proportion of conventional loans. They have a a low proportion of FHA loans. (This may mean they shy away from first time homebuyers.) Their top markets include Seattle, Tacoma, Spokane, Bremerton, and Portland among others. They have an average approval rate for mortages when compared nationally -- and they have a below average pick rate when compared to the same sample of other lendors. Boeing Employees' Credit Union (becu) is typically a normal fee lendor.


Originations

18,382

Origination Dollar Volume (All Markets)

$3,821,820,000

Product Mix

Loan Type Originations Total Value Average Loan
Conventional 18,310 $3,797,270,000 $207,388
FHA 20 $5,490,000 $274,500
VA 52 $19,060,000 $366,538

Conventional loans are assumed to be 20% downpayment and either fixed/adjustable rate. FHA loans start at 3.5% downpayment and are targeted towards first time homebuyers who will be owner-occupants. USDA loans target agrarian uses such as farms. VA loans are available to members of the military. FHA, USDA and VA loans are typically subsidized by the government so as to have more favorable terms for the borrower.

Loan Reason

Loan Reason Originations Total Value Average Loan
Home Purchase 3,647 $1,363,255,000 $373,802
Home Improvement 5,606 $563,280,000 $100,478
Other 2,860 $290,860,000 $101,699
Refi 4,274 $855,850,000 $200,246
Cash Out Refi 1,995 $748,575,000 $375,226

Home purchase and refinance loans are typically offered by even the most prudent banks. Cash out refi loans typically carry higher fees-- they allow homeowners to get loans against the equity (appreciated value) of their home, but can be used irresponsibly. Lendors with a high ratio of cash out refi loans may be exposed in the event of an economic downturn, and may be more aggressive with their fee schedules.

Top Markets

Market Originations Total Value Average Loan
SEATTLE-BELLEVUE-KENT, WA 12,464 $2,600,950,000 $208,677
TACOMA-LAKEWOOD, WA 2,754 $505,920,000 $183,704
Outside of Metro Areas 728 $172,640,000 $237,143
SPOKANE-SPOKANE VALLEY, WA 488 $113,020,000 $231,598
BREMERTON-SILVERDALE-PORT ORCHARD, WA 412 $84,240,000 $204,466
PORTLAND-VANCOUVER-HILLSBORO, OR-WA 131 $52,125,000 $397,901
OLYMPIA-LACEY-TUMWATER, WA 296 $43,990,000 $148,615
MOUNT VERNON-ANACORTES, WA 262 $40,720,000 $155,420
BELLINGHAM, WA 126 $33,460,000 $265,556
PHOENIX-MESA-CHANDLER, AZ 170 $31,620,000 $186,000
WENATCHEE, WA 105 $24,825,000 $236,429
KENNEWICK-RICHLAND, WA 45 $21,015,000 $467,000
COEUR D'ALENE, ID 31 $19,995,000 $645,000
RIVERSIDE-SAN BERNARDINO-ONTARIO, CA 34 $8,020,000 $235,882
LOS ANGELES-LONG BEACH-GLENDALE, CA 22 $6,200,000 $281,818
CHARLESTON-NORTH CHARLESTON, SC 33 $5,985,000 $181,364
YAKIMA, WA 31 $5,075,000 $163,710
BOISE CITY, ID 20 $3,810,000 $190,500
CORVALLIS, OR 3 $3,485,000 $1,161,667
ST. LOUIS, MO-IL 16 $3,420,000 $213,750
OAKLAND-BERKELEY-LIVERMORE, CA 14 $3,400,000 $242,857
ANAHEIM-SANTA ANA-IRVINE, CA 15 $3,295,000 $219,667
SAN DIEGO-CHULA VISTA-CARLSBAD, CA 12 $3,140,000 $261,667
TUCSON, AZ 19 $3,085,000 $162,368
BEND, OR 13 $2,935,000 $225,769
SALEM, OR 10 $2,890,000 $289,000
WALLA WALLA, WA 12 $2,100,000 $175,000
SAN JOSE-SUNNYVALE-SANTA CLARA, CA 4 $2,040,000 $510,000
SACRAMENTO-ROSEVILLE-FOLSOM, CA 11 $1,765,000 $160,455
EUGENE-SPRINGFIELD, OR 8 $1,610,000 $201,250
LONGVIEW, WA 12 $1,550,000 $129,167
LAKE HAVASU CITY-KINGMAN, AZ 11 $1,475,000 $134,091
MEDFORD, OR 6 $1,000,000 $166,667
MONTGOMERY COUNTY-BUCKS COUNTY-CHESTER COUNTY, PA 5 $845,000 $169,000
CHICAGO-NAPERVILLE-EVANSTON, IL 7 $795,000 $113,571
SAN RAFAEL, CA 2 $760,000 $380,000
SANTA MARIA-SANTA BARBARA, CA 1 $735,000 $735,000
STOCKTON, CA 2 $700,000 $350,000
MODESTO, CA 2 $690,000 $345,000
OXNARD-THOUSAND OAKS-VENTURA, CA 2 $670,000 $335,000
PHILADELPHIA, PA 5 $615,000 $123,000
PRESCOTT VALLEY-PRESCOTT, AZ 2 $520,000 $260,000
PITTSBURGH, PA 2 $390,000 $195,000
WICHITA, KS 4 $340,000 $85,000
BAKERSFIELD, CA 1 $335,000 $335,000
TWIN FALLS, ID 3 $325,000 $108,333
GREENVILLE-ANDERSON, SC 2 $320,000 $160,000
LEWISTON, ID-WA 2 $300,000 $150,000
SPRINGFIELD, MO 1 $255,000 $255,000
SPARTANBURG, SC 2 $230,000 $115,000
REDDING, CA 1 $225,000 $225,000
YUMA, AZ 1 $195,000 $195,000
VALLEJO, CA 2 $190,000 $95,000
ROCKFORD, IL 1 $185,000 $185,000
CARBONDALE-MARION, IL 1 $175,000 $175,000
VISALIA, CA 1 $175,000 $175,000
CHARLOTTE-CONCORD-GASTONIA, NC-SC 1 $165,000 $165,000
HILTON HEAD ISLAND-BLUFFTON, SC 1 $155,000 $155,000
ALBANY-LEBANON, OR 2 $120,000 $60,000
JOPLIN, MO 1 $115,000 $115,000
FRESNO, CA 1 $115,000 $115,000
SAN FRANCISCO-SAN MATEO-REDWOOD CITY, CA 1 $105,000 $105,000
SANTA CRUZ-WATSONVILLE, CA 1 $85,000 $85,000
MADERA, CA 1 $55,000 $55,000
KANSAS CITY, MO-KS 1 $55,000 $55,000
LAKE COUNTY-KENOSHA COUNTY, IL-WI 1 $45,000 $45,000
BLOOMSBURG-BERWICK, PA 1 $35,000 $35,000

Lendors vary in competitiveness at the per market level-- meaning they may have better terms, deals or promotions based on the mortgaged property's location.

Interest Rate & Spreads

Loan Rate Originations Total Value Average Loan
2.5-3% 26 $8,130,000 $312,692
3-4% 3,580 $1,517,280,000 $423,821
4-5% 4,954 $1,216,060,000 $245,470
5-6% 7,952 $927,540,000 $116,642
6-7% 1,033 $100,685,000 $97,469
7-8% 647 $42,685,000 $65,974
Over 8% 190 $9,440,000 $49,684

Loan Sizing

Loan Size Originations Total Value Average Loan
$100,000 or less 6,576 $365,670,000 $55,607
$100k-200k 4,829 $664,155,000 $137,535
$200k-400k 5,121 $1,394,285,000 $272,268
$400k-600k 1,347 $645,905,000 $479,514
$600k-1000k 387 $283,655,000 $732,959
$Over $1MM 122 $468,150,000 $3,837,295

Different banks have different objectives. Some banks focus solely on high net worth individuals. Others focus on FHA loans for lower income applicants. Knowing what a bank specializes in allows better optimization given the applicant's financial situation.

LTV Distribution

Loan to Value Originations Total Value Average Loan
20-40% 4,872 $806,220,000 $165,480
40-60% 2,093 $699,405,000 $334,164
60-80% 2,601 $1,090,365,000 $419,210
80-100% 1,782 $723,590,000 $406,055
Over 100% 16 $7,140,000 $446,250
Under 20% 7,017 $494,945,000 $70,535

LTV, or loan-to-value, is the amount loaned relative to a home's value. Lower LTV lending implies a larger downpayment-- reducing risk to the lendor. FHA loans will nearly always have a higher LTV due to the lower downpayment requirements. Higher LTVs may also mean a bank is charging higher fees or interest rates to compensate for their risk exposure.

Applicant Income

Applicant Income Originations Total Value Average Loan
$100k-150k 5,473 $990,355,000 $180,953
$150k-250k 4,147 $902,615,000 $217,655
$50k-75k 2,747 $388,185,000 $141,312
$50k-or less 1,121 $122,945,000 $109,674
$75k-100k 3,500 $567,280,000 $162,080
$Over $250k 1,117 $349,415,000 $312,816

Ethnicity Mix

Applicant Ethnicity Originations Total Value Average Loan
White 14,081 $2,561,105,000 $181,884
Not applicable 105 $429,495,000 $4,090,429
Asian 1,659 $345,935,000 $208,520
Not provided 1,554 $319,260,000 $205,444
Black 493 $84,345,000 $171,085
American Indian 205 $30,435,000 $148,463
Native Hawaiian 109 $18,065,000 $165,734
Asian Indian 36 $8,910,000 $247,500
Other Asian 32 $5,850,000 $182,813
Filipino 37 $5,735,000 $155,000
Chinese 16 $2,730,000 $170,625
Other Pacific Islander 14 $2,540,000 $181,429
Japanese 7 $2,335,000 $333,571
Vietnamese 16 $2,100,000 $131,250
Korean 14 $2,060,000 $147,143
Samoan 2 $460,000 $230,000
Guamanian 2 $460,000 $230,000

Approval Rates

Total approvals of all applications
78.27%

A high approval rate means banks are more selective in who they market to or that they are loosey-goosey with who they lend to. Low approval rates may mean a lendor is more stringent in their lending standards.

Pick Rate

Approvals leading to origination
79.52%

A bank's pick rate is how often they are chosen by an applicant once approved. A high pick rate typically means the bank has some sort of advantage-- either the best terms (rates/fees), fastest closing time or even the best customer service. Banks with <75% pick rate may need further investigation as to why they are not more competitive.

Points and Fees

Points Originations Total Value Average Loan
NA 18,382 $3,821,820,000 $207,911

Origination Fees

Origination Fee Originations Total Value Average Loan
$<1k 3,925 $1,184,185,000 $301,703
$1k-2k 644 $234,590,000 $364,270
$2k-3k 400 $153,910,000 $384,775
$3k-4k 406 $161,490,000 $397,759
$5k+ 289 $136,795,000 $473,339

Banks make money on their float/interest spread (fees charged to borrowers vs fees they pay for their capital), for servicing loans, as well as charging origination fees when a loan is disbursed. Modern low-cost efficient lendors can have fees totaling less than $500 for many mortgages-- as low as $250 in some cases. Average lendors will be in the $1k-2k range and high cost lendors will be even more. The costs incurred by the bank will be similar no matter the loan amount, so this is to be viewed as a profit center for most banks.

Occupancy Type Mix

Dwelling Type Originations Total Value Average Loan
Multifamily:Site-Built 114 $442,850,000 $3,884,649
Single Family (1-4 Units):Manufactured 252 $31,790,000 $126,151
Single Family (1-4 Units):Site-Built 18,016 $3,347,180,000 $185,789