Back with predictions

It’s a new year and that means everyone is giving their predictions about 2015. I took a break from blogging for most of December, tying up loose ends in the office and taking some time off. So I’m re-recharged and ready to push for Credit Unions to become more memberlicious. So here are my predictions…..

The newly re-launched 97% loan-to-value mortgage being purchased by Fannie & Freddie will be a blockbuster for Credit Unions who want to be memberlicious. It will allow them to help more members with home ownership. Credit unions, especially those who shy away from government lending, will use the 97% product to target millennials and first time home buyers who struggle to acquire the required down payment on a 95% LTV. Or those who don’t want to pay the overpriced, life-of-loan premium on an FHA loan.

Interest rates will stay in the lower 4% range (between 4% and 4.5%). I’m no economist, but I listen to one once-in-a-while. This seems to be a common thought, but in some ways I just am starting to wonder if anything can occur in the economy to actually cause interest rates to rise. Credit Unions will capitalize on the low rates by continuing to push purchase money mortgages, and even help a few more members with low-cost HARP loans to lower their monthly mortgage obligations. Mermberlicious indeed!

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