Flat Branch Mortgage Inc.

COLUMBIA, MO 65201

LEI: 549300LXKO1O7CSK5J52

Tax ID: 20-2746596

2019 Data | 2018 Data


Overview

Flat Branch Mortgage Inc. is a small mortgage company specializing in Home Purchase and Refi loans. Flat Branch Mortgage Inc. has a high proportion of conventional loans. They have an average proportion of FHA loans. Their top markets include St. Louis, Kansas City, Springfield, Columbia, and Joplin among others. They have an above 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. Flat Branch Mortgage Inc. is typically a low fee lendor.


Originations

8,984

Origination Dollar Volume (All Markets)

$1,604,850,000

Product Mix

Loan Type Originations Total Value Average Loan
Conventional 4,918 $979,940,000 $199,256
FHA 2,019 $297,155,000 $147,179
VA 1,014 $209,840,000 $206,943
USDA 1,033 $117,915,000 $114,148

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 7,003 $1,146,945,000 $163,779
Home Improvement 591 $113,765,000 $192,496
Refi 1,327 $332,395,000 $250,486
Cash Out Refi 63 $11,745,000 $186,429

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
ST. LOUIS, MO-IL 1,593 $319,465,000 $200,543
Outside of Metro Areas 1,992 $274,800,000 $137,952
KANSAS CITY, MO-KS 1,101 $224,165,000 $203,601
SPRINGFIELD, MO 856 $143,660,000 $167,827
COLUMBIA, MO 642 $122,790,000 $191,262
JOPLIN, MO 834 $114,620,000 $137,434
FAYETTEVILLE-SPRINGDALE-ROGERS, AR 337 $70,955,000 $210,549
TULSA, OK 292 $51,910,000 $177,774
JEFFERSON CITY, MO 253 $37,285,000 $147,372
PEORIA, IL 294 $33,920,000 $115,374
SEATTLE-BELLEVUE-KENT, WA 38 $16,770,000 $441,316
SPRINGFIELD, IL 96 $14,080,000 $146,667
ATLANTA-SANDY SPRINGS-ALPHARETTA, GA 41 $13,855,000 $337,927
DENVER-AURORA-LAKEWOOD, CO 29 $12,385,000 $427,069
CHICAGO-NAPERVILLE-EVANSTON, IL 33 $11,055,000 $335,000
CAPE GIRARDEAU, MO-IL 54 $9,460,000 $175,185
DALLAS-PLANO-IRVING, TX 23 $8,825,000 $383,696
LITTLE ROCK-NORTH LITTLE ROCK-CONWAY, AR 43 $8,355,000 $194,302
MINNEAPOLIS-ST. PAUL-BLOOMINGTON, MN-WI 19 $7,275,000 $382,895
ST. JOSEPH, MO-KS 43 $6,105,000 $141,977
PORTLAND-VANCOUVER-HILLSBORO, OR-WA 16 $5,970,000 $373,125
HOUSTON-THE WOODLANDS-SUGAR LAND, TX 16 $5,660,000 $353,750
OKLAHOMA CITY, OK 23 $5,625,000 $244,565
GARY, IN 23 $4,915,000 $213,696
TAMPA-ST. PETERSBURG-CLEARWATER, FL 13 $4,415,000 $339,615
TACOMA-LAKEWOOD, WA 12 $4,360,000 $363,333
AUSTIN-ROUND ROCK-GEORGETOWN, TX 13 $4,125,000 $317,308
INDIANAPOLIS-CARMEL-ANDERSON, IN 12 $3,970,000 $330,833
NASHVILLE-DAVIDSON--MURFREESBORO--FRANKLIN, TN 10 $3,590,000 $359,000
LAWRENCE, KS 17 $3,295,000 $193,824
NORTH PORT-SARASOTA-BRADENTON, FL 7 $2,465,000 $352,143
BOULDER, CO 5 $2,225,000 $445,000
TOPEKA, KS 13 $2,175,000 $167,308
FORT WORTH-ARLINGTON-GRAPEVINE, TX 6 $2,150,000 $358,333
ORLANDO-KISSIMMEE-SANFORD, FL 7 $2,045,000 $292,143
FORT LAUDERDALE-POMPANO BEACH-SUNRISE, FL 6 $1,940,000 $323,333
OLYMPIA-LACEY-TUMWATER, WA 5 $1,875,000 $375,000
MEMPHIS, TN-MS-AR 5 $1,825,000 $365,000
CRESTVIEW-FORT WALTON BEACH-DESTIN, FL 5 $1,785,000 $357,000
SAN ANTONIO-NEW BRAUNFELS, TX 5 $1,655,000 $331,000
MIAMI-MIAMI BEACH-KENDALL, FL 5 $1,595,000 $319,000
FORT SMITH, AR-OK 13 $1,595,000 $122,692
LAKE COUNTY-KENOSHA COUNTY, IL-WI 5 $1,465,000 $293,000
KANKAKEE, IL 11 $1,445,000 $131,364
CAPE CORAL-FORT MYERS, FL 5 $1,395,000 $279,000
CHAMPAIGN-URBANA, IL 8 $1,360,000 $170,000
SAVANNAH, GA 5 $1,325,000 $265,000
BREMERTON-SILVERDALE-PORT ORCHARD, WA 3 $1,295,000 $431,667
ALBUQUERQUE, NM 3 $1,275,000 $425,000
JACKSONVILLE, FL 3 $1,145,000 $381,667
ROCKFORD, IL 8 $1,140,000 $142,500
PENSACOLA-FERRY PASS-BRENT, FL 3 $1,095,000 $365,000
LINCOLN, NE 3 $1,065,000 $355,000
MILWAUKEE-WAUKESHA, WI 3 $995,000 $331,667
LOUISVILLE/JEFFERSON COUNTY, KY-IN 3 $975,000 $325,000
CINCINNATI, OH-KY-IN 3 $965,000 $321,667
JONESBORO, AR 6 $920,000 $153,333
DELTONA-DAYTONA BEACH-ORMOND BEACH, FL 2 $840,000 $420,000
BEAUMONT-PORT ARTHUR, TX 5 $795,000 $159,000
WEST PALM BEACH-BOCA RATON-BOYNTON BEACH, FL 2 $740,000 $370,000
GAINESVILLE, GA 2 $730,000 $365,000
JACKSON, MS 2 $710,000 $355,000
PORT ST. LUCIE, FL 2 $700,000 $350,000
OMAHA-COUNCIL BLUFFS, NE-IA 2 $700,000 $350,000
PALM BAY-MELBOURNE-TITUSVILLE, FL 2 $690,000 $345,000
BOWLING GREEN, KY 2 $690,000 $345,000
BEND, OR 2 $680,000 $340,000
KILLEEN-TEMPLE, TX 2 $660,000 $330,000
WENATCHEE, WA 2 $630,000 $315,000
ELGIN, IL 2 $630,000 $315,000
DANVILLE, IL 4 $510,000 $127,500
WICHITA, KS 3 $485,000 $161,667
BELLINGHAM, WA 1 $435,000 $435,000
BLOOMINGTON, IN 2 $420,000 $210,000
CHATTANOOGA, TN-GA 1 $415,000 $415,000
SPOKANE-SPOKANE VALLEY, WA 1 $405,000 $405,000
FORT COLLINS, CO 1 $375,000 $375,000
THE VILLAGES, FL 1 $365,000 $365,000
PUNTA GORDA, FL 1 $325,000 $325,000
AMARILLO, TX 1 $325,000 $325,000
JACKSON, TN 1 $295,000 $295,000
GRAND JUNCTION, CO 1 $295,000 $295,000
ODESSA, TX 1 $285,000 $285,000
LAFAYETTE-WEST LAFAYETTE, IN 2 $250,000 $125,000
ELIZABETHTOWN-FORT KNOX, KY 2 $230,000 $115,000
DES MOINES-WEST DES MOINES, IA 1 $225,000 $225,000
PINE BLUFF, AR 2 $220,000 $110,000
GREELEY, CO 1 $195,000 $195,000
AUGUSTA-RICHMOND COUNTY, GA-SC 1 $185,000 $185,000
LONGVIEW, TX 1 $165,000 $165,000
DECATUR, IL 1 $155,000 $155,000
ELKHART-GOSHEN, IN 1 $105,000 $105,000
MUNCIE, IN 1 $85,000 $85,000
CARBONDALE-MARION, IL 1 $55,000 $55,000

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% 107 $35,475,000 $331,542
3-4% 4,280 $870,780,000 $203,453
4-5% 3,939 $617,175,000 $156,683
5-6% 644 $79,340,000 $123,199
6-7% 6 $1,110,000 $185,000
7-8% 5 $395,000 $79,000
Over 8% 3 $575,000 $191,667

Loan Sizing

Loan Size Originations Total Value Average Loan
$100,000 or less 1,817 $135,335,000 $74,483
$100k-200k 4,319 $633,375,000 $146,649
$200k-400k 2,488 $669,570,000 $269,120
$400k-600k 344 $154,420,000 $448,895
$600k-1000k 15 $10,975,000 $731,667
$Over $1MM 1 $1,175,000 $1,175,000

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% 76 $9,130,000 $120,132
40-60% 358 $62,400,000 $174,302
60-80% 1,706 $357,430,000 $209,513
80-100% 6,605 $1,126,325,000 $170,526
Over 100% 231 $49,205,000 $213,009
Under 20% 8 $360,000 $45,000

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 1,405 $345,825,000 $246,139
$150k-250k 652 $201,050,000 $308,359
$50k-75k 2,576 $404,280,000 $156,941
$50k-or less 2,778 $328,360,000 $118,200
$75k-100k 1,411 $269,985,000 $191,343
$Over $250k 162 $55,350,000 $341,667

Ethnicity Mix

Applicant Ethnicity Originations Total Value Average Loan
White 7,793 $1,371,315,000 $175,968
Not provided 452 $94,870,000 $209,889
Black 348 $59,730,000 $171,638
Asian 204 $50,130,000 $245,735
American Indian 165 $24,895,000 $150,879
Native Hawaiian 17 $2,485,000 $146,176
Asian Indian 3 $945,000 $315,000
Korean 1 $355,000 $355,000
Filipino 1 $125,000 $125,000

Approval Rates

Total approvals of all applications
97.64%

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
77.89%

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 8,984 $1,604,850,000 $178,634

Origination Fees

Origination Fee Originations Total Value Average Loan
$<1k 6,697 $1,242,705,000 $185,561
$1k-2k 1,685 $252,845,000 $150,056
$2k-3k 481 $78,115,000 $162,401
$3k-4k 98 $23,120,000 $235,918
$5k+ 20 $7,830,000 $391,500

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
Single Family (1-4 Units):Manufactured 86 $9,040,000 $105,116
Single Family (1-4 Units):Site-Built 8,898 $1,595,810,000 $179,345