The 84,000 member, $1.2 billion NASA Federal Credit Union and the 4.2 million member, $52.4 billion Navy Federal Credit Union are offering members mortgages without requiring any down payment or mortgage insurance, credit union executives confirmed.
No money down mortgages were among the types of housing finance loans that were blamed for having helped cause the housing finance crisis in 2007 and such mortgages would seem to run counter to the prevailing trend in housing finance regulation which seeks to make sure participants in all parts of the lending process have a stake in the loan.
But executives from both credit unions said a mixture of underwriting standards and member relationships protect them from losses on the loans.
Continue Reading for Free
Register and gain access to:
- Breaking credit union news and analysis, on-site and via our newsletters and custom alerts
- Weekly Shared Accounts podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the commercial real estate and financial advisory markets on our other ALM sites, GlobeSt.com and ThinkAdvisor.com
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
