With the recent mortgage refinance boom disappearing and home purchases continuing to flounder, even though rates remain relatively low consumers are being very careful with the home buying decisions—which makes this purchase an increasingly valuable commodity for the credit union. It's more important than ever credit unions ensure their members aren't being swayed to another lender for long-term business.

According to a June 20, 2013, report from the Mortgage Bankers Association, the organization expects refinances in 2014 to drop by 60.1% to $388 billion, while purchase loan originations are projected to rise by 17.2% to $703 billion. This positive projection, however, is a double-edged sword for credit unions because a home loan is the number one product that could lure your members away from your credit union.

When members go to another lender for a home loan, they trust this institution with the biggest investment of their lives. They spend a long period of time working with them, becoming familiar with names and faces, and they find additional benefits to linking other financial products with their home lender such as ease in using their free accounts because their mortgage is also there. Your members quickly become a prospect of their home lender and quite often are sold on many other advantages, too.