When the residential real estate bubble burst a decade ago, many people’s dreams of homeownership deflated as well. Increasingly, though, renters are looking to become buyers, suggests Daniel Sugg, chief mortgage lending officer at Michigan First Credit Union, that serves homeowners across the state. The CU offers mortgages through Michigan First Mortgage, a credit union service organization. Sugg recently shared insights on marketing mortgages.  

Q: How’s business?

Sugg: With mortgage rates sitting at near historic lows, we are seeing more people—especially millennials—gravitating toward the idea of buying a home. Rental rates are high right now, making homeownership more affordable. We are seeing this trend unfold in areas such as Detroit and Grand Rapids, but we have also experienced significant growth in the Lansing and Livingston County markets as well. Editor’s note: The Fed raised rates in March and is expected to do so as many as three times in 2017.

Q: Who should credit unions be targeting with mortgage marketing?

Sugg: The top target audience should be millennials. Through Michigan First Credit Union’s Young & Free Michigan program, which was designed to challenge those ages 17 to 25 to be more financially aware and prepared to take control of their finances, we have unique insight into this demographic. We know how millennials interact with brands online and what type of financial information they are hungry for from credit unions and mortgage companies. Student loan debt is a challenge we keep hearing about, and it is impacting this demographic’s ability to purchase homes. Together with Michigan First CU and Young & Free Michigan, we are helping break down those barriers and are offering solutions that better position them financially for the future. 

Q: What kind of education and support do first-time homebuyers need?

Read the response, plus four more questions and answers on the myCUES app. Find it under “Spotlight.”

Karen Bankston is the proprietor of Precision Prose, Portland, Ore.