[Update 1: Adds comments from Bob Dorsa] Credit unions originated 38.8% more first-lien mortgages in Q209 compared to Q208, according to Callahan & Associates’ First Look Program market research. Credit unions that participate in the research surveys reported originating a combined $30.7bn in mortgages during the quarter, up 16.1% from Q109. According to American Credit Union Mortgage Association (ACUMA) president Bob Dorsa, credit unions hold nearly 6% of the mortgage industry market share, and have room to grow. Dorsa told HousingWire the association’s membership has set a goal of 10% mortgage origination market share by 2016. “The biggest impediment is that many Realtors and most consumers don’t really think about a credit union when they think about mortgage lending,” Dorsa said. There are nearly 8,000 credit unions in the US, but because they lend to their own membership, Dorsa said the average credit union is only lending about 70% of its available funds. “It’s not a matter of limited funds, it’s a matter of limit of knowledge and understanding and education by consumers and Realtors and builders,” he said. To increase the appetite for mortgage lending, credit unions are working to get the word out to real estate professionals and consumers that they have money to lend. Something that could help is the recent charter of a National Association of Realtors (NAR) credit union. Credit unions are taking a larger share of the origination market and looking for additional resources to expand their capacity. Sources have told HousingWire small lenders and community banks are stepping up their mortgage operations. Community banks and credit unions may even fill a growing need in the dwindling warehouse lending space as institutional lenders exit, says Mary Kladde, president and CEO of Titan Lenders Corp. Write to Austin Kilgore. For industry commentary on the potential role of community banks in warehouse lending, look for HousingWire’s October edition.

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