NCUA’s Harper discusses complicated mortgage market, appraisal bias at ACUMA’s 2023 Conference
NATIONAL HARBOR, MD (October 4, 2023) — National Credit Union Administration Chairman Todd M. Harper spoke at the American Credit Union Mortgage Association’s Annual Conference today. During his remarks, Chairman Harper discussed several hurdles affecting the American consumer’s ability to purchase a home, maintain a balanced household budget, and gain fair and equal access to credit. These issues include rising interest rates, ongoing issues of affordable housing, and continuing appraisal bias and disparities in mortgage lending. Additionally, Chairman Harper noted growing signs of financial stress in households.
“Over the last few years, credit unions have actively originated first and second liens, including home equity lines of credit,” said Chairman Harper. “Notably, outstanding junior liens in the credit union industry grew about 34 percent over the last four quarters. This increase in home equity loans and junior liens is both good and bad. While credit unions are meeting their members’ needs, which is positive, I’m concerned about what it means on the borrower’s side and whether the higher volume in HELOCs and junior liens is indicative of increased levels of household financial stress.”
Chairman Harper’s full remarks are available on NCUA.gov.
About National Credit Union Administration (NCUA)
The NCUA is the independent federal agency created by the U.S. Congress to regulate, charter and supervise federal credit unions. With the backing of the full faith and credit of the United States, the NCUA operates and manages the National Credit Union Share Insurance Fund, insuring the deposits of more than 135 million account holders in all federal credit unions and the overwhelming majority of state-chartered credit unions. The NCUA also protects consumers and educates the public on consumer protection and financial literacy issues.
