Is Black Hills Community Bank, N.A. An Expensive Mortgage Lender?

We compare mortgage interest rate and loan related closing costs at Black Hills Community Bank, N.A. with other lenders for mortgages with similar borrower characteristics:

Interest Rate: lower than average (-0.14%)
Loan Related Closing Costs: higher than average (+$516)
Assessment: this lender tends to be a cheap lender.

This scoreboard is based on data reported to FFIEC. In the data, Black Hills Community Bank, N.A. originated 256 mortgages, a national market share of 0.0%. It was most active in SD (1.6% market share), ND (0.0% market share), and AZ (0.0% market share).

On average, Black Hills Community Bank, N.A.’s interest rates were lower than those of comparable mortgages at other lenders (-0.14%).1The comparable mortgages control for Black Hills Community Bank, N.A.’s distribution of loan term (e.g. 30 year vs 15 year), loan-to-value (LTV), debt-to-income (DTI), loan amount, loan program (e.g. Conforming/FHA), loan purpose (e.g. purchase/refinance), and county. Interest rate and loan related closing costs are estimated based on fixed rate mortgages only, whereas market shares include all purchase or refinance mortgages. Its average total loan related closing cost was $5605, which was higher than those of comparable mortgages at $5089, with a difference of +$516. Overall, we estimate that Black Hills Community Bank, N.A. tends to be an cheap lender, with a cost-adjusted-rate difference of -0.10% compared to comparable mortgages at other lenders.2Cost adjusted rates were computed based on each percent of the loan amount in loan related closing costs being worth 1/6 of a percentage point in interest rate. Nevertheless, we recommend comparing your rate and fees with at least a few other lenders before signing with Black Hills Community Bank, N.A..

Black Hills Community Bank, N.A. originated Conforming, FHA and VA mortgages for new home purchases. We breakdown its interest rate and total loan related closing cost on by each of the mortgage types it originated below:

Home Purchase Mortgages from Black Hills Community Bank, N.A. compared to other lenders

Conforming FHA VA
Interest Rate Difference -0.12% -0.15% -0.16%
Loan related Closing Cost Difference +$313 +$763 +$657
Cost Adjusted Rate Difference -0.10% -0.08% -0.11%

Based on the table above, Black Hills Community Bank, N.A. is cheap for Conforming, FHA and VA purchase mortgages.

Other information about Black Hills Community Bank, N.A.:

Regulator: Office of the Comptroller of the Currency (OCC) 
Top holder: BHCB HOLDING COMPANY
Registered city and state: Rapid City, SD, 57701

Footnotes   [ + ]

1. The comparable mortgages control for Black Hills Community Bank, N.A.’s distribution of loan term (e.g. 30 year vs 15 year), loan-to-value (LTV), debt-to-income (DTI), loan amount, loan program (e.g. Conforming/FHA), loan purpose (e.g. purchase/refinance), and county. Interest rate and loan related closing costs are estimated based on fixed rate mortgages only, whereas market shares include all purchase or refinance mortgages.
2. Cost adjusted rates were computed based on each percent of the loan amount in loan related closing costs being worth 1/6 of a percentage point in interest rate.

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