In 2020, in the midst of some of the most uncertain market conditions of our country’s history, mortgage originations are red hot – to the tune of $4.2 trillion, up from $2.2 trillion in 2019.
The mortgage business is booming, and there are no signs of it letting up anytime soon.
But in conversations with our credit union partners across the country, even during a roaring wave of opportunity, there are still some major challenges for their organizations.
Are your members home? Not literally, of course, but figuratively?
Generally speaking, if a credit union has a membership of 100,000 people, 7,000 of them got a mortgage this year. Yet only about 700 of them went to their credit union for that service and experience.
Why is that?
In the largest financial transaction of their lives, when they already have their trust in you with their checking, savings, and likely loan programs of some sort, why are they not considering you for their home loans?
It’s tough news, of course, but they’re turning to the shiny, big bank, or heavily advertised mortgage companies that are happy to take their proverbial number and churn them through the automated processes. They’re turning to companies like Zillow, Quicken, and Redfin. Sure, a lot of big data, but with as little human interaction as possible.
And yet, here are credit unions:
The front porches of communities across the country. The beacons of trust, connection, and conversation. The place where you call your members by their first names, not the numbers the algorithm provided them.
For our partners here at TruHome, we see it all. From every size and every level of sophistication, there are a few key components you should consider as you work your way back into this market opportunity. We have learned these from people like you, leading credit unions across the country, looking for ways to serve their membership.
- Resources and Expertise – It’s a huge load to run a robust, enterprise-level mortgage originations operation. Most credit unions are not able to fully build that in house, either because of limited resources or qualifications. However, when our credit union partners work with us, that is exactly what it is – a partnership. We work on their behalf, serving their members. In doing so, we complement their current offerings and provide a strategic avenue to grow alongside them.
- Capitalize on Current Market Conditions – It would be unlikely, impractical, and too time-consuming to build out a best-in-breed mortgage offering while these conditions are still prime. Our partners have utilized our systems, strength, and industry knowledge to capitalize on current, favorable mortgage conditions.
- Life Changes are Taking Place – Our loan officers and entire originations department, acting on your behalf, are far more interested in the people behind the application than the application number itself. Of course, our job is to get the mortgage to the closing table, but we never forget that each of your members is far more than a number. They are in this process because something in life has changed for them. Regardless of the circumstance, they are in an important place, and we’re committed to helping them start the next chapter of their story.
- Technology is Transformational – The credit union way, with a caring voice guiding your members through the process, is the secret that sets us apart. But the backbone is the enterprise-level technology and first-class, modern experience your members will appreciate throughout their loan origination. From the first click to closing, our automated, scalable processes allow your team to ramp up production. In a hurry.
- Our Talented Team – All the technology bells and whistles are meaningless however, without a caring, service-oriented team on the other end of the phone, emails, and applications. When your member calls us, we are an extension of your staff. We speak your language, know your voice, and most importantly, know your members just need a little guidance, education and reassurance as they move along their journey.
So if your current mortgage operation is leaving a bit to be desired, if you’re ready to capitalize on this red-hot market, and if you’re frustrated when your members mortgages go elsewhere, we should talk.