Why Offering Mortgages Leads to Membership Growth

May 2025

Did you know that there’s a significant age gap between first-time homebuyers and the typical credit union member? When a credit union offers mortgage services, it has the opportunity to attract and expand into a new membership demographic.

Millennials currently make up 38% of current buyers, with the average median age of a first time home buyer in the U.S. being 38 years old. However, the average age of a credit union member is 53 years old–less than 20% of members are under the age of 40.

This age gap gives credit unions the opportunity to expand their services by offering mortgages and potentially reaching thirty-something homebuyers. Statistics show that mortgages boost member loyalty, resulting in deeper relationships and greater retention of members. For example, customers who apply for a mortgage are 2-3 times more likely to also seek auto loans or credit cards.

How does a credit union make this opportunity work for their local community?

Credit unions have the ability to create unique products to fit their region and to meet the needs of potential homebuyers that are specific to their area. Because credit unions typically serve members who live and work in the same geographic area, they are already familiar with their community’s home buying needs.

Having a strong partner like MAM to help credit unions offer mortgages and provide great service can also build trust within a credit union’s membership.

A great example of a program MAM helped tailor to fit a community is CommonWealth One’s Mortgages Made to Match program. This program created a suite of products that are adaptable to their members by offering conventional mortgages with fixed or adjustable rates that fit a member’s budget. They also include human underwriting which allows leeway on important factors like debt-to-income ratio so they can make a more personal decision for potential homebuyers, and they accept alternative qualification methods like bank statements and asset depletion. The result? Homeownership is more accessible to their members.

Mortgage programs like this have the potential to capture an untapped demographic of potential home buyers, to create long-term membership relationships, and to grow as word of mouth spreads within their community.

If you’re looking to reach potential members in their thirties who want to become first time homebuyers, consider creating a program specific to the needs of your community. A mortgage program could be the first step in a long and fulfilling relationship for credit unions and their new members.

Want to understand the unique needs of today’s thirty-something homebuyers more specifically? We’ve done the work for you! Click here to read more.

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 we’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.

Member Advantage Mortgage, LLC NMLS #1557. Alabama Consumer Credit License # 22717. Arkansas Combination Mortgage Banker-Broker-Servicer License # 104160. Colorado, Regulated by the Division of Real Estate, Mortgage Company Registration NMLS ID # 1557; check the license status of your mortgage loan originator at http://www.dora.state.co.us/real-estate/index.htm. Connecticut Mortgage Lender License # ML-1557. District of Columbia Mortgage Lender License # MLB1557. Delaware Lender License # 011515. Florida Mortgage Lender License # MLD781. Georgia Residential Mortgage Licensee, License # 36659. Louisiana Residential Mortgage Lending License NMLS ID # 1557. Massachusetts Mortgage Lender License # ML1557. Maryland Mortgage Lender License # 06-19371. Michigan 1st Mortgage Broker/Lender/Servicer Registrant # FR020440. Licensed by the North Carolina Commissioner of Banks, Mortgage Lender License #167098. Licensed by the New Hampshire Banking Department. New Hampshire Mortgage Banker License # 14242-MB. Licensed by the New Jersey Department of Banking and Insurance. New Jersey Residential Mortgage Lender License NMLS ID # 1557. Licensed by Pennsylvania Department of Banking. Pennsylvania Mortgage Lender License # 33868. Rhode Island Licensed Lender, License # 20112778LL. South Carolina Mortgage Lender License #1557. Texas Mortgage Banker Registration NMLS ID # 1557. Licensed by the Virginia State Corporation Commission, Virginia Lender License # MC-5045, Virginia Broker License #MC-5045. NMLS ID # 1557.

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