Is Cornerstone Mortgage, Inc. An Expensive Mortgage Lender?

We compare mortgage interest rate and loan related closing costs at Cornerstone Mortgage, Inc. with other lenders for mortgages with similar borrower characteristics:

Interest Rate: lower than average (-0.26%)
Loan Related Closing Costs: similar to average (+$171)
Assessment: this lender tends to be a cheap lender.

This scoreboard is based on data reported to FFIEC. In the data, Cornerstone Mortgage, Inc. originated 915 mortgages, a national market share of 0.0%. It was most active in MO (0.6% market share), KS (0.1% market share), and IL (0.0% market share).

On average, Cornerstone Mortgage, Inc.’s interest rates were lower than those of comparable mortgages at other lenders (-0.26%).1The comparable mortgages control for Cornerstone Mortgage, Inc.’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 $3790, which was similar to those of comparable mortgages at $3619, with a difference of +$171. Overall, we estimate that Cornerstone Mortgage, Inc. tends to be an cheap lender, with a cost-adjusted-rate difference of -0.25% 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 Cornerstone Mortgage, Inc..

Cornerstone Mortgage, Inc. originated Conforming, FHA, USDA and VA mortgages for new home purchases. It also originated Conforming 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 Cornerstone Mortgage, Inc. compared to other lenders

ConformingFHAUSDAVA
Interest Rate Difference-0.25%-0.23%-0.23%-0.30%
Loan related Closing Cost Difference+$256+$101+$66+$1141
Cost Adjusted Rate Difference-0.23%-0.22%-0.23%-0.21%

Based on the table above, Cornerstone Mortgage, Inc. is cheap for Conforming, FHA, USDA and VA purchase mortgages.

Mortgage Refinancing from Cornerstone Mortgage, Inc. compared to other lenders

Conforming
Interest Rate Difference-0.29%
Loan Related Closing Cost Difference-$586
Cost Adjusted Rate Difference-0.34%

Based on the table above, Cornerstone Mortgage, Inc. is cheap for Conforming mortgage refinance.

Other information about Cornerstone Mortgage, Inc.:

Regulator: United States Department of Housing and Urban Development (HUD) 
Registered city and state: CHESTERFIELD, MO, 63005

Leave a Comment

Your email address will not be published. Required fields are marked *

Footnotes

Footnotes
1The comparable mortgages control for Cornerstone Mortgage, Inc.’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.
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.