Commerce Home Mortgage Interest Rate and Cost Review

Is Commerce Home Mortgage a cheap or expensive mortgage lender? We compare the interest rates and closing costs charged by Commerce Home Mortgage with other lenders for comparable mortgages. Nationally, here is what we find:

Interest Ratesimilar to average (+0.05%)
Loan Related Closing Costssimilar to average (+$159)
National Rate and Closing Cost Rating(3.0)

On average, Commerce Home Mortgage’s interest rates were similar to those of other lenders (+0.05%) for a comparable set of borrowers. Its average total loan related closing cost was similar to those of other lenders, with a difference of +$159. Overall, combining interest rates and closing costs we estimate that Commerce Home Mortgage tends to be an average cost lender, and give it a National Rate and Closing Costs Rating of 3.0 out of 5.0 stars.

Commerce Home Mortgage’s Rates by Area

Mortgage lenders often set different rates in different geographical markets. In particular, among the markets we track Commerce Home Mortgage was most active in:

  1. Los Angeles, CA
  2. San Francisco, CA
  3. Redding, CA
  4. El Paso, TX
  5. Denver, CO

Furthermore, Commerce Home Mortgage is our top ranked mortgage lender in terms of interest rate and closing costs in Redding, CA, for FHA mortgages.

You can click through to check out Commerce Home Mortgage’s mortgage rate competitiveness by area. Or, for our data driven ranking of all the top mortgage lenders by area, click here.

Commerce Home Mortgage’s Rates by Mortgage Type

Mortgage lenders also tend to charge different interest rates and closing costs depending on the type of mortgage. In our data, Commerce Home Mortgage originated Conforming, FHA, Jumbo, USDA and VA mortgages for new home purchases. It also originated Conforming, FHA, Jumbo and VA mortgages for refinances. We breakdown its interest rate and total loan related closing cost difference relative to other lenders for comparable mortgages by type in the table below.

New Purchase MortgagesConformingFHAJumboUSDAVA
Interest Rate Difference+0.06%+0.02%+0.15%-0.11%+0.08%
Loan Related Closing Cost Difference+$342+$313+$594+$166+$215
Cost Adjusted Rate Difference+0.08%+0.04%+0.16%-0.10%+0.09%
Star Rating(3.0)(3.5)(2.5)(4.0)(3.0)
Refinance MortgagesConformingFHAJumboVA
Interest Rate Difference+0.05%-0.02%+0.12%+0.02%
Loan Related Closing Cost Difference-$257+$157+$253-$67
Cost Adjusted Rate Difference+0.04%-0.02%+0.12%+0.01%
Star Rating(3.5)(3.5)(3.0)(3.5)

As a summary, Commerce Home Mortgage is cheap for USDA purchase mortgages. It is similar to other lenders for FHA purchase mortgages. It is more expensive than other lenders for Conforming, Jumbo and VA purchase mortgages. For refinancing mortgages, Commerce Home Mortgage is similar to other lenders for Conforming, FHA and VA mortgage refinance. It is more expensive than other lenders for Jumbo mortgage refinance. Nevertheless, individual circumstances can matter, and we always recommend shopping among several lenders in your area before signing.

Other information about Commerce Home Mortgage:

Registered name: Commerce Home Mortgage
Registered city and state: Irvine, CA, 92606
Regulator: United States Department of Housing and Urban Development (HUD)

* Source of the data is Federal Financial Institutions Examination Council (FFIEC) and is for mortgages originated in the past year. Our comparable mortgages analysis controls for Commerce Home Mortgage’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 commuting zone. Cost adjusted rates were computed based on each percent of the loan amount in above average loan related closing costs being worth +0.15 of a percentage point in interest rate. Furthermore, the amounts are regularized using a Bayesian approach to control for small samples.