With home prices rising and
housing demand strong
in most markets, NAFCU
Vice President of Research
and Chief Economist Curt Long expects
steady growth in mortgage lending for
the remainder of this year and into 2018.
“I think you’ll see fairly modest growth
for the overall mortgage market, but
credit unions will outperform the market
as they have for some time now,” he says.
“A good forecast for credit unions is
‘more of the same.’”
Growing market share
If that’s the case, credit unions will continue to gain market share this year — accounting for nearly 8 percent of first mortgage originations and growing at a pace that has outstripped bank mortgage lending since 2010.
Housing experts say rising interest rates will reduce the demand for refinances, but it shouldn’t stop consumers from locking in still-low fixed rates or taking advantage of attractive adjustable-rate mortgages in higher-cost areas. Home equity loans and lines of credit are also starting to become popular again as home values increase.
From the September-October 2017 issue of The NAFCU Journal.