5 Reasons Credit Union Members Should Reconsider Buying a Home

September 2025

Now is a great time for credit union members to take a second look at buying a home. There are five compelling reasons for members and credit unions to partner together to make the dream of home ownership a reality.

1. Lower Interest Rates and Fees

Rates for most loans, including mortgages, are often times lower at credit unions because they operate on a not-for-profit, member-owned model. Credit unions typically pass earnings back to members through lower mortgage rates and reduced fees, potentially saving buyers thousands over the lifetime of a loan. MAM provides helpful, easy to understand tools like mortgage calculators to help potential buyers on their journey to home ownership.

2. Lower Closing Costs and Possibly No PMI

In addition to lower interest rates and fees, credit unions often charge lower closing and origination costs. Some even offer mortgages without private mortgage insurance (PMI) which is a significant saving for those members who are unable to put 20% down. Bankrate states, “Annual PMI premiums range from 0.46 percent to 1.5 percent of your mortgage, depending on your credit score and other factors, according to the Urban Institute.” Without a required PMI, buyers may save up to 1% of their loan amount per year.

3. Personalized Service and Easier Approval

Credit unions offer personalized, member-focused service, and loan officers often work directly with buyers to guide them through the process. Approval processes can be more flexible which makes homebuying less stressful and potentially faster. MAM recommends that members get pre-approved for a mortgage, which strengthens a buyer’s offer, helps members have a clear picture of their budget in advance, and helps them move faster when they’re ready.

4. Local Expertise and Community Connection

Credit unions are deeply rooted in their communities, giving them local market insight and fostering long-term relationships with members. They have strong knowledge of local needs and focus on the communities they serve, which is not always the case with other lenders. A credit union’s mortgage specialists understand the local housing market, may have established relationships with local realtors, inspectors, and title companies, and can offer guidance on local assistance programs or grants that national lenders might overlook. This deep community knowledge helps buyers make a more informed decision.

5. Long-Term Member Benefits

Because of this commitment on behalf of the credit union, members receive long-term benefits like access to better rates on savings, personalized financial advice, refinancing options, or home equity products. Credit unions are focused on more than simply securing a loan, they’re also focused on their members’ long‑term financial success.

Now is a great time for members to begin considering how a mortgage through a credit union can offer tangible advantages: cost savings, personal attention, and a meaningful, ongoing financial partnership. MAM’s resources help potential buyers determine their budget, calculate their mortgage, and apply for pre-approval which helps members move quickly when the right home comes on the market.

We hope to see old friends and make new ones this October! Member Advantage Mortgage will be exhibiting at APEX 25 Oct 15-17th at Mohegan Sun. Stop by Booth 415 to connect with us in person and learn more about how MAM helps credit unions support members on their path to homeownership.

Member Advantage Mortgage helps make credit unions the hero of their members’ homeownership journey, regardless of their size. We think the best place to start is by listening. Let’s start with a confidential conversation; just reach out to me and I’ll be in touch shortly.

Jim Mitchell
(616) 466-7793
[email protected]

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Disclaimer:

This information is solely for credit union and mortgage professionals and should not be distributed or provided to consumers or the general public.

This is not an offer for extension of credit nor a commitment to lend. Programs, rates, terms and conditions are subject to change without notice. Certain restrictions may apply. All approvals subject to underwriting guidelines. Not all applicants will qualify. Member Advantage Mortgage, LLC is an Equal Housing Lender. We do business in accordance with the Federal Fair Housing Law and the Equal Credit Opportunity Act.

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