Low mortgage rates are powering an increase in mortgage market share for credit unions according to CreditUnions.com research
. The study finds that mortgage lending has been the "main catalyst for overall loan growth at credit unions" for Q1 2020.
The Mortgage Bankers Association is predicting increases in refinance activity into the second quarter, which will could help further the growth of mortgage market share in credit unions moving forward.
"At U.S. credit unions, mortgage originations reached $50.8 billion as of March 31, 2020. This is almost double what credit unions reported in the first quarter of 2019. Likewise, credit union mortgage market share increased 1.0 percentage point over the past 12 months to 9.0%," according to the report
In addition, mortgages made up 36.3% of total loan originations for credit unions in the first quarter. This marks a 13% increase in points year-over-year. According to the report, 73.5% of the $50.8 billion in mortgage cooperatives originated were fixed-rate mortgages.
to read the full report from CreditUnions.com.