Credit unions look forward to engaging with Congress to develop solutions to improve access to housing and reduce gaps in homeownership rates, President/CEO Jim Nussle wrote the House Financial Services Committee Wednesday. The committee will hold a hearing today on oversight of the Department of Housing and Urban Development (HUD).
“Credit unions support legislation and policy decisions that would increase the supply of safe, affordable, and reasonably resilient housing, including efforts to make it easier for homebuilders and homebuyers to use manufactured housing to reduce the housing shortage,” Nussle wrote. “The housing market is a critical aspect of our nation’s economy, and the future availability of affordable housing is of great importance to our nation’s credit unions and their 140 million members.”
America’s Credit Unions’ analysis of recently released Home Mortgage Disclosure Act (HMDA) data for 2022 shows:
- Credit unions originated a higher share of purchase loans to Black and Hispanic borrowers than banks did (17.6% versus 15.5%);
- Over 17% of credit union originations were in low- and moderate-income census tracts, which was also higher than banks (15.9%); and
- The median interest rate for 30-year mortgages among prime borrowers at credit unions is notably lower than that at banks and mortgage companies, a trend that holds true for urban and rural and non-prime borrowers.
Credit unions support legislation and policy decisions that would increase the supply of safe, affordable, and reasonably resilient housing, including efforts to make it easier for homebuilders and homebuyers to use manufactured housing to reduce the housing shortage.
“Finally, credit unions cannot overstate the beneficial impact that modernizing field of membership (FOM) restrictions would have on our abilities to better serve minority and disadvantaged populations,” Nussle added.
America’s Credit Unions shared its 2024 policy priorities to members of Congress and federal agency heads this week, including HUD.
