Is Belmont Savings Bank An Expensive Mortgage Lender?

We compare mortgage interest rate and loan related closing costs at Belmont Savings Bank with other lenders for mortgages with similar borrower characteristics:

Interest Rate: lower than average (-0.17%)
Loan Related Closing Costs: lower than average (-$698)
Assessment: this lender tends to be a cheap lender.

This scoreboard is based on data reported to FFIEC. In the data, Belmont Savings Bank originated 827 mortgages, a national market share of 0.0%. It was primarily active in MA (0.6% market share) and RI (0.0% market share).

On average, Belmont Savings Bank’s interest rates were lower than those of comparable mortgages at other lenders (-0.17%).1The comparable mortgages control for Belmont Savings Bank’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 $3665, which was lower than those of comparable mortgages at $4362, with a difference of -$698. Overall, we estimate that Belmont Savings Bank tends to be an cheap lender, with a cost-adjusted-rate difference of -0.19% 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 Belmont Savings Bank.

Belmont Savings Bank originated Conforming and Jumbo mortgages for new home purchases. It also originated Conforming and Jumbo mortgages for refinances. 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 Belmont Savings Bank compared to other lenders

Conforming Jumbo
Interest Rate Difference -0.20% -0.01%
Loan related Closing Cost Difference -$405 -$831
Cost Adjusted Rate Difference -0.22% -0.03%

Based on the table above, Belmont Savings Bank is cheap for Conforming purchase mortgages. It is similar to other lenders for Jumbo purchase mortgages.

Mortgage Refinancing from Belmont Savings Bank compared to other lenders

Conforming Jumbo
Interest Rate Difference -0.33% -0.01%
Loan Related Closing Cost Difference -$989 -$1256
Cost Adjusted Rate Difference -0.37% -0.04%

Based on the table above, Belmont Savings Bank is cheap for Conforming mortgage refinance. It is similar to other lenders for Jumbo mortgage refinance.

Other information about Belmont Savings Bank:

Regulator: Federal Deposit Insurance Corporation (FDIC) 
Top holder: BSB BANCORP INC.
Registered city and state: BELMONT, MA, 02478

Footnotes   [ + ]

1. The comparable mortgages control for Belmont Savings Bank’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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