Credit Unions are Poised to Capture the Real Estate Market


Credit Unions have an extended opportunity to take advantage of the home buyer tax credit. This week, the Senate and House passed a re-vamped measure that pushes back the incentive’s deadline and expands the credit beyond first-time home buyers. The bill now awaits President Obama’s approval.


Click on graph to view larger size. |  Source: Callahan & Associates' Peer-to-Peer

Click on graph to view larger size. |  Source: Callahan & Associates' Peer-to-Peer

The new tax credit stipulations pave the way for credit unions to continue increasing their mortgage portfolios while serving homebuyers looking to benefit from falling real estate prices, low interest rates and a tax incentive. Credit unions are better equipped to provide home buyers with the information they need to be successful home owners, and your institution can stand apart as a leader among your community’s mortgage providers.

  • Be knowledgeable. Know what state and national programs are available for local buyers and talk with area realtors about which programs they see as essential. Then participate in those programs. Many of them will be around long after stimulus programs have expired.
  • Be available. Fostering relationships with the community and members doesn’t begin and end with counseling and education sessions. Give out your contact information, respond to emails and answer the phone…even on evenings and weekends.
  • Be vocal. Offering a service is not enough. You need to tell people what you are doing. Create flyers for your front line employees so they can talk about your product. Take area real estate agents to lunch; explain how they lose if their clients go with another lender. Distribute key chains and candy bars that tout the benefits of your mortgage programs.
  • Follow up. Keep track of outstanding applications and call those borrowers and realtors. Mortgages are a great way to infuse your credit union with new members, and the business gained has far-reaching, long-term effects. Participation in a mortgage program creates opportunities in other member services.



Nov. 6, 2009



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