East West Bank

PASADENA, CA 91101

LEI: F28JOQ8OBWCFUYM0UX93

Tax ID: 95-2795851

2019 Data | 2018 Data


Overview

East West Bank is a small mortgage company specializing in Home Purchase loans. East West Bank has a high proportion of conventional loans. Their top markets include Los Angeles, New York, Anaheim, Riverside, and Seattle 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. East West Bank is typically a lendor.


Originations

5,260

Origination Dollar Volume (All Markets)

$3,004,160,000

Product Mix

Loan Type Originations Total Value Average Loan
Conventional 5,260 $3,004,160,000 $571,133

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 3,452 $1,919,050,000 $555,924
Home Improvement 192 $98,890,000 $515,052
Other 263 $101,395,000 $385,532
Refi 769 $555,305,000 $722,113
Cash Out Refi 584 $329,520,000 $564,247

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
LOS ANGELES-LONG BEACH-GLENDALE, CA 1,027 $678,765,000 $660,920
NEW YORK-JERSEY CITY-WHITE PLAINS, NY-NJ 1,239 $659,205,000 $532,046
ANAHEIM-SANTA ANA-IRVINE, CA 415 $269,435,000 $649,241
RIVERSIDE-SAN BERNARDINO-ONTARIO, CA 556 $218,120,000 $392,302
SEATTLE-BELLEVUE-KENT, WA 389 $214,115,000 $550,424
SAN FRANCISCO-SAN MATEO-REDWOOD CITY, CA 210 $200,810,000 $956,238
SAN JOSE-SUNNYVALE-SANTA CLARA, CA 150 $121,800,000 $812,000
RENO, NV 2 $107,510,000 $53,755,000
OAKLAND-BERKELEY-LIVERMORE, CA 220 $99,910,000 $454,136
HOUSTON-THE WOODLANDS-SUGAR LAND, TX 176 $94,560,000 $537,273
LAS VEGAS-HENDERSON-PARADISE, NV 326 $69,690,000 $213,773
SAN DIEGO-CHULA VISTA-CARLSBAD, CA 58 $40,390,000 $696,379
CAMBRIDGE-NEWTON-FRAMINGHAM, MA 64 $38,830,000 $606,719
SACRAMENTO-ROSEVILLE-FOLSOM, CA 59 $37,485,000 $635,339
ATLANTA-SANDY SPRINGS-ALPHARETTA, GA 197 $33,435,000 $169,721
BOSTON, MA 60 $30,530,000 $508,833
DALLAS-PLANO-IRVING, TX 51 $24,835,000 $486,961
NASSAU COUNTY-SUFFOLK COUNTY, NY 28 $12,640,000 $451,429
PHOENIX-MESA-CHANDLER, AZ 1 $11,985,000 $11,985,000
YUBA CITY, CA 1 $8,345,000 $8,345,000
BOISE CITY, ID 1 $7,575,000 $7,575,000
BAKERSFIELD, CA 5 $6,225,000 $1,245,000
SALT LAKE CITY, UT 2 $6,160,000 $3,080,000
STOCKTON, CA 4 $3,290,000 $822,500
OXNARD-THOUSAND OAKS-VENTURA, CA 3 $2,465,000 $821,667
FORT WORTH-ARLINGTON-GRAPEVINE, TX 7 $2,345,000 $335,000
NASHVILLE-DAVIDSON--MURFREESBORO--FRANKLIN, TN 1 $1,405,000 $1,405,000
NEWARK, NJ-PA 1 $845,000 $845,000
MERCED, CA 1 $365,000 $365,000
MODESTO, CA 1 $275,000 $275,000
PORTLAND-VANCOUVER-HILLSBORO, OR-WA 1 $255,000 $255,000
AUSTIN-ROUND ROCK-GEORGETOWN, TX 2 $240,000 $120,000
Outside of Metro Areas 1 $165,000 $165,000
PROVIDENCE-WARWICK, RI-MA 1 $155,000 $155,000

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
3-4% 207 $273,115,000 $1,319,396
4-5% 3,293 $1,879,745,000 $570,831
5-6% 1,218 $595,960,000 $489,294
6-7% 389 $208,125,000 $535,026
7-8% 153 $47,215,000 $308,595

Loan Sizing

Loan Size Originations Total Value Average Loan
$100,000 or less 122 $9,370,000 $76,803
$100k-200k 739 $113,675,000 $153,823
$200k-400k 1,743 $512,555,000 $294,065
$400k-600k 1,261 $616,945,000 $489,251
$600k-1000k 943 $714,215,000 $757,386
$Over $1MM 452 $1,037,400,000 $2,295,133

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% 609 $296,955,000 $487,611
40-60% 2,486 $1,504,220,000 $605,076
60-80% 1,643 $1,075,925,000 $654,854
80-100% 360 $82,650,000 $229,583
Under 20% 162 $44,410,000 $274,136

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 25 $8,915,000 $356,600
$150k-250k 16 $6,860,000 $428,750
$50k-75k 205 $48,965,000 $238,854
$50k-or less 185 $31,355,000 $169,486
$75k-100k 44 $13,260,000 $301,364
$Over $250k 5 $2,025,000 $405,000

Ethnicity Mix

Applicant Ethnicity Originations Total Value Average Loan
Asian 3,874 $1,876,830,000 $484,468
Not applicable 505 $799,365,000 $1,582,901
White 667 $251,575,000 $377,174
Not provided 63 $28,405,000 $450,873
Black 113 $27,975,000 $247,566
Chinese 24 $13,200,000 $550,000
Asian Indian 3 $2,235,000 $745,000
Filipino 2 $1,570,000 $785,000
American Indian 3 $765,000 $255,000
Guamanian 1 $755,000 $755,000
Vietnamese 1 $645,000 $645,000
Native Hawaiian 3 $605,000 $201,667
Korean 1 $235,000 $235,000

Approval Rates

Total approvals of all applications
92.69%

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
83.66%

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 5,260 $3,004,160,000 $571,133

Origination Fees

Origination Fee Originations Total Value Average Loan
$<1k 539 $114,415,000 $212,273
$1k-2k 91 $22,345,000 $245,549
$2k-3k 344 $120,320,000 $349,767
$3k-4k 521 $266,105,000 $510,758
$5k+ 592 $447,840,000 $756,486

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:Manufactured 1 $4,205,000 $4,205,000
Multifamily:Site-Built 255 $662,055,000 $2,596,294
Single Family (1-4 Units):Manufactured 3 $455,000 $151,667
Single Family (1-4 Units):Site-Built 5,001 $2,337,445,000 $467,396