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.
Well Tom, once again you have said it much better than I could have. Unfortunately the folks at Move, ...
It certainly does not bode well for a fast recovery in the economic climate. This will affect all real estate ...
I HAVE 25 YEARS EXPERIENCE IN TELECOMMUNICATIONS..HOW DO I APPLY AT KAI. 
Definitely not a fan of Move Inc.!!! 
A lot of you really need to go back to kindergarten and learn to spell correctly. If you cannot spell ...
In 2008, there was an extension to push first-time home buyers to purchase their homes quickly since the program did ...
I also need HELP and don't know what to do about my problem. I have a garden apartment off ...
I have the same situation. I sold my home in July and am scheduled to to close in a few ...
My cousin in Maryland going thru same thing as Jack Thomas. Have loan Mod Agreement from Countywide dated April 2009, ...
Print Ads is the popular way to advertise among seniors in the business industry but today it seems like it ...
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.