The Opportunity and the Need Not since the Federal Credit Union Act was amended in 1978 have credit unions had a better opportunity to seize a leading position as prominent mortgage lenders. The turmoil in the mortgage and financial markets of the last two years is unprecedented. Yet the strategies we employ to capitalize on this opportunity as an industry and as individual credit unions remain undefined. The first half of 2008 brought never before seen mortgage lending activity to credit unions throughout the country. Even as the market as a whole slows, credit unions continue to reap the benefit of the sub-prime apocalypse for some very simple reasons: our industry is trusted and reliable. The general public has come to realize credit unions stand for good financial sense. Affordable, sustainable lending is at the core of this industry’s philosophy. It manifests itself in the way we help members tackle their toughest economic challenges. Credit unions stand out in another way as well. We are passionate and we believe in our purpose. Those among us who are the most successful mortgage lenders stand out, too. On staff they have someone who passionately believes their credit union must play a role in housing finance. Understanding their communities, local housing dynamics and member needs is an avocation, not merely a job. They believe it, they are passionate about the topic and, just as importantly, they get their credit unions to commit to housing finance as a core strategy. Then they execute. The CU Housing RoundTable coined the phrase ‘Housing Czar’ to refer to this individual found in successful mortgage lending credit unions. Want to seize the opportunity that lies ahead? Appointing a Housing Czar is one of the first strategies to act upon. What is a Housing Czar? What does a Housing Czar do? This paper holds the answers, starting with your credit union’s plan. It then provides a plan template before discussing, in detail, who the Housing Czar is and what role they play in your credit union. Wrapping things up, the paper provides a Housing Czar job description and finishes with some closing thoughts on next steps for individual credit unions and for the industry.
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