Credit Union Lending Jumps in Q1 2014

investigation-five-300x198The increase in credit union market share is not a surprise. Most credit unions do not charge monthly fees so you can let them using your money. They don’t have any higher interest rates than banks for mortgages and most of them are federally insured. For a more detailed look at this subject – please read the article below.

The FHA Condos Approval Company, Inc.

Please +1 Us on Google, Follow Us on Twitter or Like Us on facebook

Credit Unions continued to grow during the first quarter of 2014, although higher interest rates slowed mortgage originations, according to the National Credit Union Administration (NCUA). The group found that total first mortgage real estate loans reached $272.6 billion, up 9.7 percent from Q1 2013.

More than 61 percent of first mortgage loans in the latest report had fixed rates.

“The continued growth in credit union lending and gains in membership during the first quarter are positive signs,” NCUA Board Chairman Debbie Matz said. “Investing in people and communities will produce dividends for credit unions in many respects, but the higher interest rate environment of late 2013 and the first quarter of 2014 slowed mortgage originations.”

Matz continued, “To protect the Share Insurance Fund, NCUA continues to closely monitor the risks posed by rising interest rates, long-term investments and fixed-rate mortgages.”

The group reported that the pace of mortgage originations slowed in the first quarter, down to $42.6 billion in Q1 2014 from $102.9 billion in the first quarter of 2013. NCUA attributes the decline to a reduction in mortgage refinancing, and “is consistent with the slowdown in the housing market during the quarter.”

Overall, membership in federally insured credit unions grew by roughly 831,000 in the first quarter of 2014, reaching a new high of 97.1 million. However, consolidation of credit unions continues to increase.

To read the complete article – please use the link below.

Credit Union Lending Jumps

Explore posts in the same categories: Real Estate Market Trends

Tags: , ,

You can comment below, or link to this permanent URL from your own site.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

%d bloggers like this: