Technology. Compliance expectations. Documentation complexity. Regulatory changes. Servicing requirements. Reporting rules. These are just some of the changes that have dramatically altered mortgage lending for credit unions.  But one thing has remained constant: People still dream of owning their own homes, and a mortgage is integral to turning their dreams into a reality. 

As credit unions helped to fulfill those dreams for members, they grew their portion of the mortgage market to an impressive 9.0% over the past decade. In the first half of 2021, credit unions originated $157 billion in first mortgage loans, a 21% increase over the first half of 2020. Now, even in the midst of a low inventory and soaring home prices, the purchase market is very strong among first-time buyers and existing homeowners. How can you grow your share of this market as refinancing slows down and your mortgage department expenses go up? 

Getting a greater portion of first-mortgage originations

It’s clear that credit unions should formulate a strategy to capture more of the purchase market while providing an exceptional experience for members. 

Two considerations that should figure prominently in your plans center on technology and staffing. Which technologies will make the loan process easier, faster, and more convenient for borrowers? How can you effectively attract, compensate, and retain high-quality personnel when your competitors plan to lure them away after you finish training them?    

Partnering with QRL Financial Services provides effective solutions to meet these critical challenges, plus the expertise to handle tasks such as:

• Producing initial documents for borrower e-signatures.
• Underwriting the file.
• Producing the closing package.
• Performing the time-consuming, expensive, and risky processing functions.
• Providing staffing scalability (both up and down) matched to market demand.
• Subservicing for mortgage loans.
• Providing fulfillment for portfolio loans.

What to look for in a lending partner

To ensure outstanding service for your members and optimal support for your team, you need a flexible partner, like QRL Financial Services, that you can rely on to deliver the following — today and beyond:

• Use of an advanced loan origination system, sparing you the need to research the options available and purchase a costly system of your own.
• A dedicated loan coordinator backed by a team to work with your credit union and facilitate the loan process efficiently and smoothly.
• Retained servicing of secondary market loans, curtailing borrowers’ exposure to cross-selling attempts by your competitors (and the exit of revenue-producing opportunities).
• A partner with the flexibility to fill requirements of any size — from virtually becoming the loan department for smaller credit unions to filling functional gaps in the offerings of larger organizations.
• Assistance for maintaining robust risk management and regulatory compliance practices, aligned with Freddie Mac and Fannie Mae goals of having a risk-free lending portfolio.
• Ability to provide all loan types, including secondary market loans, conventional loans, government-guaranteed loans, and even construction products.

The right lending services partner can make a huge difference in your results. Let QRL Financial Services help you reach your growth goals without adding overhead or staffing challenges.

TOM SECOR is vice president of business development at QRL Financial Services.