For Strong Banks Mortgages Are Good Business – Example Navy Federal Credit Union
2008 saw a huge shakeout in the mortgage industry as those banks that profited off of subprime loans disappeared or merged with stronger institutions.
Now with the subprime business off the books and home prices discounted, banks that have a strong balance sheet are looking to loan. The profits subsidized by the government are making good loans highly profitable.
The Navy Federal Credit Union just announced they are increasing their lending to 6 billion dollars for 2009. Listen to their reasoning.
Mortgage originations totaled more than $5.7 billion last year — the second-highest year for originations in Navy Federal’s 75-year history.
“Navy Federal never engaged in sub-prime mortgage lending,” said Cutler Dawson, CEO of the Vienna, Va.-based credit union, in a statement. “As a result, we saw a strong ‘return to trust’ in 2008, and we’re committed to continuing that momentum in 2009.” via Baltimore Business Journal:.
This could be great news for the housing industry if banks are showing this much confidence in their lending ability.
I truly feel that the real estate market will not see a rise or increase until the national economy starts ...
I am currently sitting on an international hedge fund that is investing 100% of an income generating property. Proof ...
Here is one from last week claiming thier son died. Sick.
Good Day,
Please excuse my late reply but I couldn't respond ...
I received the same "Lagos,Nigeria for an international Christian follower’s crusade" email as the post above for a rental place ...
FINALLY, someone agrees with me about the constant traffic problems in the DC metro area. The main problem...archaic freeways and ...
would also be interested in buying houses please contact me thank you ..richard 
I do a lot of BPOs and REOs as a real estate agent. Doing quite well for myself. I shifted ...
I received this response today...
Hello
I can see you are interested in renting the ...
I need the picture of beautiful small house in asia/gulf style like pakistan india.bagladesh and u.a.e
please provide me the best ...
It's been a long that I have not visited your blog and I think I am not up to date. ...
Pingback by New Congress Looks To Add Mortgage Debt To Bankruptcies - BIG MISTAKE : The Real Estate Bloggers on 6 January 2009:
[...] If you’re new here, you may want to subscribe to my RSS feed. Thanks for visiting!So we have finally flushed most of the bad debt out of our system in 2008. The bad lenders are disappearing and lenders are feeling good about making new loans. [...]
Comment by Graham on 9 January 2009:
This is clearly not surprising. Banks that have conducted business under standard procedures and assumptions are going to continue to do well.