Flagstar Bank

What sets Flagstar Bank apart

• Flagstar Bank reports one of the lowest return on assets (ROA) readings among banks of $10 bn to $100 bn: 0.13% at Q2 2026, where the median of the 126 banks is 1.25%.
• On uninsured share of domestic deposits, Flagstar Bank climbed from 399th to 330th among 500 US banks between Q2 2025 and Q2 2026 (1 = highest).
• The net interest margin of Flagstar Bank, 2.18% at Q2 2026, places Flagstar Bank in the bottom tenth of banks of $10 bn to $100 bn (group median 3.62%).

How large is Flagstar Bank?

The balance sheet of Flagstar Bank at Q2 2026: assets $87.7 bn, deposits $67.5 bn, net loans $60.3 bn (loans equal to 89.34% of deposits). Securities make up 18.9% of total assets at Flagstar Bank. Since Q1 2016, when Flagstar Bank held $13.7 bn, its assets grew 541.7%. In the year to Q2 2026, deposits at Flagstar Bank fell 3.9% while its total assets fell 4.8%. At Q2 2026, Flagstar Bank employed 5,374 full-time equivalent staff across 345 offices, about $16.3 mn of assets per employee and $195.7 mn of deposits per office.

How much funding at Flagstar Bank is uninsured?

At Flagstar Bank, uninsured deposits (above the FDIC limit) made up 28.94% of domestic deposits at Q2 2026 (+5.42 pp on a year earlier); Flagstar Bank ranks 330th of 500 on this measure. In dollars, Flagstar Bank estimated $19.5 bn of uninsured deposits.

Key facts, Q2 2026

US rank of Flagstar Bank: 1 = highest unless marked 1 = lowest.

The CET1 ratio of Flagstar Bank stood at 13.16% in Q2 2026, -0.73 pp year on year. Low and high at Flagstar Bank since Q1 2016: 10.07% (Q2 2020) to 20.34% (Q1 2016). Equity capital of Flagstar Bank at Q2 2026: $8.1 bn, or 9.3% of total assets. Flagstar Bank also reported a total capital ratio of 16.58% for Q2 2026, and a tier 1 leverage ratio of 9.70%.

The available-for-sale portfolio of Flagstar Bank showed an unrealized loss of $736.8 mn at Q2 2026; the loss widened by $18.3 mn over the year.

For the year to Q2 2026, Flagstar Bank earned a return on equity of 1.36%; return on assets: 0.13%. Net interest margin at Flagstar Bank: 2.18%, +0.25 pp in a year. Flagstar Bank net income: $55.3 mn, down 143.2% year on year. The efficiency ratio of Flagstar Bank was 85.21%: about 85 cents cost per revenue dollar, against 55 cents at the median peer.

At Q2 2026, noncurrent loans were 4.97% of total loans at Flagstar Bank; net charge-offs: 0.58% of average loans. Gross loans and leases at Flagstar Bank: $61.2 bn, down 5.0% in a year.

The peer group of Flagstar Bank is the 6 banks nearest to it by total assets at Q2 2026: 3 larger and 3 smaller. Of the peers, 3 share the charter type of Flagstar Bank (national bank), 6 sit in the same size group ($10 bn to $100 bn) and 0 have head offices in New York. Against them, Flagstar Bank shows CET1 ratio 13.16% against a peer median of 12.03%, return on equity 1.36% against a peer median of 13.45% and uninsured deposit share 28.94% against a peer median of 43.25%.

The FDIC history of Flagstar Bank, oldest first; figures before and after each event are not like for like.

1. 1 December 2022. Absorbed New York Community Bank (FDIC certificate 16022).
2. 19 March 2023. Absorbed Signature Bridge Bank, National Association (FDIC certificate 59332).

Large one-quarter moves at Flagstar Bank

• Total assets at Flagstar Bank changed by +254.6% in the quarter to 2022-12-31: Affiliated Institution Merger (Pooling) (i.e. Corporate Reorganization; Participated in Absorbtion/Consolidation/Merger: acquired from New York Community Bank.
• Total assets at Flagstar Bank changed by +37.3% in the quarter to 2023-03-31: Bridge Bank Resolution; Participated in Absorbtion/Consolidation/Merger: acquired from Signature Bridge Bank, National Association.