TOP 300
Analysis & Trends
Why is Market Share Dropping? By Tracy Ashfield ACUMA
B
“
y most accounts credit unions had a stellar first quarter in 2021, according to credit union mortgageWhen calculated origination data from Calusing the lahan’s Peer to Peer reports. Mortgage Credit unions wrote more than $74 billion in loan production Bankers for almost 319,000 units. Association’s But is it all good news? production Maybe not. When calculated using numbers, credit union market the Mortgage Bankers Association’s production numbers, share peaked in credit union market share 2018 at 8.30%. peaked in 2018 at 8.30%. It dropped a little in 2019 and then again in 2020. By year-end 2020 market share
“
had fallen to 7.62%. At the end of the first quarter of this year, it dropped again—this time below 7% to 6.82%. That’s a pretty big decline in market share in only about three years. And, for sure, this is not a great trend; it’s certainly not one we’d like to continue. I have some theories as to why this is occurring, but I am curious to know what you, our readers, think are the reasons for credit unions’ market-share decline. Do you have an opinion? If so, please weigh in to the discussion. Take a moment to share
your thoughts. I will compile them and report back to the ACUMA membership with your perspectives on the downward trend. You can reach out to me at tashfield@acuma.org.
A Note on the Data: NCUA had given credit unions a 30-day grace period for submitting their quarterly 2020 Call Reports due to the impact of Covid-19. That’s no longer the case. Also, be advised that ACUMA will publish quarterly data for the Top 300 and make it available to our members online. Tracy Ashfield is the President of ACUMA. She has also worked as a mortgage consultant for credit unions.
Top 300 First Mortgage-Granting CUs as of March 31, 2021 $ Originated 1st Mortgages (Fixed & Adjustable)
# Originated 1st Mortgages (Fixed & Adjustable)
$ Outstanding 1st Mortgages (Fixed & Adjustable)
$ Sold 1st Mortgages
Top 300 1st Mortgages Originated CUs All Originating CUs (2,859 CUs)* Top 300 Share
58,934,613,569 228,789 369,944,724,580 25,111,823,619 74,572,755,813 318,970 525,431,182,696 29,941,462,247 79.0 72 70.4 83.9 *CUs who granted $10,000 or more 01/21 - 3/21
Continued
86
ACUMA PIPELINE - SUMMER 2021
