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Northern California credit unions see boost in purchase mortgage business with CU Realty’s HomeAdvantage™ Program
SCOTTSDALE, AZ (July 3, 2014) — Shrinking inventories of homes for sale have made for tight real estate markets in Northern California, and a resulting drop in purchase mortgage applications. But two credit unions in the region have seen their mortgage numbers rise after partnering with CU Realty Services.
Travis Credit Union, in Vacaville, Calif., with $2.2 billion in assets, and Patelco Credit Union in Pleasanton, Calif., with $4 billion in assets, are among the latest to offer CU Realty Services’ turn-key real estate program, HomeAdvantage.
“Our purchase business is growing,” said Brian Pouch, AVP of Real Estate Lending at Travis CU. “We have had some members, who mentioned they were looking elsewhere for financing, reconsider the credit union after learning about our real estate services program.”
Since the launch in April, more than 200 Travis CU members have registered to use HomeAdvantage.
Patelco Credit Union also launched HomeAdvantage in April, and to date, has registered 234 members for the program.
“We’ve seen an increase in purchase mortgages the last two months. In fact, April and May were both record months for the number of applications,” said Vince Salinas, Patelco CU’s VP of Home Loans. “The CU Realty onboarding process was smooth and well-planned.”
The HomeAdvantage program attracts home buyers back to their credit union by offering the tools and resources they need to begin their home-buying journey. This includes the ability to search for homes online, research neighborhoods, and connect to a Realtor within a pre-approved network. Members also qualify to earn a rebate at closing when working with a pre-approved real estate agent, saving an average of $1,545 per transaction.
According to the National Association of Realtors, 56 percent of all home buyers in 2013 went online as their first step to search for homes and research the market. Only 6 percent started with a lender, and 17 percent went to a Realtor.
Mike Corn, CU Realty Services CEO, says HomeAdvantage works by offering the tools and resources home buyers need at the onset of their purchase decisions.
“Credit unions are able to engage with more home-buying members much earlier in the process,” Corn said. “Our studies show that when members rely on their credit union for those resources upfront, they are more likely to stay for financing. And with the housing inventory so thin and the refinance market diminished, credit unions need quality tools to improve their purchase mortgage volumes.”
According to Corn, providing members with information they need, as well as connecting them with an experienced Realtor, “helps keep them thinking about their credit union when it’s time for a mortgage loan.”
Currently, CU Realty Services works with more than 100 credit unions in 21 states. To learn more, visit www.curealty.com or www.mycuhomeadvantage.com.
About CU Realty Services, LLC
CU Realty Services provides real estate services to credit unions across the nation, helping them increase their purchase mortgage business. Launched in 2001, the CUSO has worked with more than 100 credit unions and thousands of their members. CU Realty’s range of web-based tools helps homebuyers find homes, research neighborhoods, calculate costs, connect to experienced real estate agents, and earn a rebate. By offering this program to members, credit unions are able to achieve significant increases in their purchase mortgage business. For more information, call Tina Powers, (800) 203-9014 ext. 104, email tina@curealty.com, or visit www.curealty.com or www.mycuhomeadvantage.com.