Northpointe Bank

Northpointe Bank

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Written by Jennifer Schurman
Edited by Jana Lynch

About Northpointe Bank

This profile has not been claimed by the company. See reviews below to learn more or submit your own review.

Northpointe Bank (NMLS #447490) is a financial services company headquartered in Grand Rapids, Michigan. The company’s mortgage products include conventional, FHA, VA, USDA, jumbo, construction and renovation loans. Northpointe Bank has been in business since 1999 and serves borrowers in all 50 states. In 2021, the company originated over $7.3 billion in home loans.

Pros

  • Multiple programs with no down payment requirements
  • 15-day closing with SimpleLoan
  • Construction and renovation loans available

Cons

  • Few in-person branches
  • Higher rates than the national average

Bottom Line

Northpointe Bank has a wide range of loan products available to meet borrowers’ individual needs. The company promises fast loan processing and offers a loan with a 15-day closing time. Northpointe Bank caters to first-time homebuyers with its low- to no-down-payment and closing cost assistance programs.

Rates

Northpointe Bank publishes its starting rates online for its 30-year fixed, 15-year fixed, 5-year ARM and construction loans. The company has had higher average home purchase rates than the national average for the past three years. In 2021, its average rate was 0.09% higher than the national average.

Northpointe Bank offers both fixed-rate and adjustable-rate mortgages (ARMs). Most borrowers choose fixed-rate mortgages because the payments are predictable and steady. However, you may consider an ARM in certain circumstances — for instance, to save money in interest if you plan to sell your home in a few years. ARMs often carry low introductory rates for the first few years of the loan.

Northpointe Bank average home purchase rate vs. national average

YearDifference from national average
2021+0.09%
2020+0.02%
2019+0.11%
Information pulled from public Home Mortgage Disclosure Act data. Rates reflect noncommercial home purchase loans only.

Application process

You can start the application process by visiting Northpointe Bank’s website. Search for loan officers in your state, then click “Apply Now” or “Get Quote.” If you choose to start an application, you’ll need to create an account.

The company will ask for your name, email address and phone number. You’ll also need to enter your Social Security number and birthdate to proceed to the application.

Within the application portal, you may be able to enter other preliminary loan information, like the loan purpose or the estimated down payment. However, you’ll need to speak with a loan officer to complete most of the application and finalize it.

Once your application is submitted, you could receive a preapproval decision fairly quickly.

Northpointe Bank application features

FeaturesAvailability
Online applicationX
Mobile document upload
Physical branches1 (Michigan)
Publishes minimum rate on website
Rate lockNot disclosed
Pre-qualification (no hard credit pull)X
Certified approval letterNot disclosed

Loan types

Northpointe Bank offers an extensive selection of loan products tailored to individual borrowers’ needs. Its products include conventional (with fixed or adjustable rates), FHA, VA, USDA and jumbo loans.

Northpointe Bank also provides specialized loan programs for doctors and professionals with student loans, and if you’re looking to build or remodel, there are loans for vacant land, new construction and renovations. The company also offers non-warrantable condo loans and programs for those trying to rebuild their credit.

For the past three years, Northpointe Bank has seen an increase in the number of home purchase applications it has received. In 2021, borrowers initiated 15,020 home purchase applications with the company.

Of those applications, 28 preapprovals were denied, and about 4% (534) of total applications were denied, which is a lower denial rate than the industry as a whole sees (about 8%). Ultimately, about 73% (11,006) of these home purchase loans were closed.

Loan applications for home purchases only by year

202120202019
Home purchase applications15,02012,54010,197
Home purchase loans closed11,0069,4797,714
Home purchase applications denied534346472
Home purchase preapprovals denied282467
Information pulled from public Home Mortgage Disclosure Act data. Includes conventional, USDA, VA and FHA mortgages.

Refinancing

For the past two years, the majority of loans Northpointe Bank originated were for refinancing purposes (with refinance loans and cash-out refinances combined). In 2020, about 61% were for refinancing, compared with 50.5% in 2021.

Several other lenders saw an increase in refinancing applications over the past two years. Rates fell to historic lows, so borrowers refinanced to lock in these lower rates and save on their monthly payments. Data from Freddie Mac showed that borrowers who refinanced in the first six months of 2021 were able to save an average of $2,800 annually.

Since 2021, rates have been rising steadily. For this reason, fewer borrowers are expected to refinance this year. You may still consider refinancing, however, even when rates are high. You may qualify for a lower rate today for a variety of reasons, such as an improvement in your credit score or an increase in your equity.

You’ll want to crunch the numbers and compare the total interest costs of your current mortgage with potential interest savings from a refi. You can compare the two options side by side using several online calculators.

Home purchase vs. refinance loans by year

202120202019
Home purchase loans49.5%38.37%60.53%
Refinance loans30.4%44.26%16.74%
Cash-out refinance20.1%17.37%22.73%
Information pulled from public Home Mortgage Disclosure Act Data. Includes conventional, USDA, VA and FHA mortgages.

HELOC and home equity loans

Northpointe Bank offers both HELOCs and home equity loans. The company doesn’t provide much information about these options, so you’ll need to contact a loan advisor to learn more.

A home equity loan is best when you need immediate access to a lump sum of cash, like for consolidating debt or funding a home improvement project. A HELOC is better when you’re unsure of exactly how much cash you’ll need but need access to funds consistently for a long period of time. Some borrowers use HELOCs to pay for a child’s college education or make small improvements to their homes.

Remember that both HELOCs and home equity loans are second liens on your home, which means your home is used as collateral. If you aren’t able to make payments, the lender could foreclose on your home.

HELOCs can also be risky because they often carry variable interest rates, which could cause your monthly payments to rise when rates increase. Consider how you’ll use the funds and the loan terms before you decide to use your home’s equity as funding. You can also consult with a loan advisor to review your options.

Requirements

Northpointe Bank does not disclose its minimum credit score requirements. However, most lenders require a score of at least 620 for a conventional, 500 for FHA, 580 for VA and 640 for USDA loans.

The company does disclose its down payment requirements. You’ll need to offer a higher down payment for a conventional loan (5%) than the 3% down payment option offered by some lenders. With an FHA loan, you’ll need to offer at least 3.5% down if your credit score is above 580. Both VA and USDA loans have no down payment requirements. Note that you’ll also want to figure out how much house you can afford before taking out a loan from Northpointe or any lender.

National mortgage requirements by type

Min. credit scoreMin. down paymentCompare with other lenders
ConventionalTypically 620Typically 3%Mortgage lenders
FHA5003.5% with 580 credit scoreFHA lenders
VASet by lender (often 580)0%VA lenders
USDASet by lender (often 640)0%USDA lenders

Northpointe also offers jumbo loans.

Cost and fees

Northpointe Bank doesn’t list the fees it charges on loan originations. However, many lenders assess an origination fee of about 0.5% to 1% of the total loan amount, which includes charges for the application, underwriting and processing.

Lender fees are part of the overall closing costs. Closing costs usually total between 2% and 5% of the loan amount. This includes prepaid items (like mortgage insurance premiums) and third-party fees (like home appraisal fees).

You’ll receive a list of all potential closing costs after you’re preapproved for a loan. The Loan Estimate outlines these charges ahead of time. You’ll want to compare the Loan Estimate with the Closing Disclosures, which you’ll receive three days before the closing. The Closing Disclosures finalizes these costs.

If you’re concerned about paying for closing costs, Northpointe Bank may be able to direct you to state bond programs that offer closing assistance. You can reach out to a loan advisor for more information and to see if you qualify.

FAQ

What is Northpointe Bank?

Northpointe Bank is a Michigan-based financial services company that’s been in business since 1999. The company offers conventional, FHA, VA, USDA, jumbo, construction and renovation loans. You can start the application process by visiting the company’s website and submitting a contact form. A loan advisor will reach out to help you complete an application.

Is Northpointe Bank legit?

Northpointe Bank is a reputable lender that’s been in business for over 20 years. Last year, the company originated over $7.3 billion in home loans.

Where is Northpointe Bank available?

Northpointe Bank is available in all 50 states and Washington, D.C., although not all of its loan products are offered in every state. There is one physical location in Grand Rapids, Michigan.

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ConsumerAffairs writers primarily rely on government data, industry experts and original research from other reputable publications to inform their work. To learn more about the content on our site, visit our FAQ page. Specific sources for this article include:
  1. OriginationData, “Northpointe Bank.” Accessed September 10, 2022.
  2. Freddie Mac, “Refinance Trends in the First Half of 2021.” Accessed September 10, 2022.
  3. Federal Reserve Bank of St. Louis, “30-Year Fixed Rate Mortgage Average in the United States.” Accessed September 10, 2022.

Northpointe Bank Company Information

Company Name:
Northpointe Bank
Website:
www.northpointe.com