Across the nation, credit unions are stepping up to help Americans achieve the dream of homeownership. They are taking meaningful action to tackle the housing crisis by offering innovative solutions that make affordable housing and long-term stability a reality programs that include 100% financing, eliminating down payments, waiving private mortgage insurance, and providing low-interest loans.
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The U.S. housing crisis has been building for over two decades, fueled by a persistent shortage of homes and worsened by the 2008 financial crash. Affordability challenges have only intensified with record-high home prices, rising mortgage rates, and additional costs such as insurance premiums, property taxes, and HOA fees. Today, the country faces a shortage of roughly four million homes. The COVID-19 pandemic added further strain, driving up rents, increasing building costs due to supply and labor shortages, and pushing typical monthly mortgage payments up nearly 60% between 2020 and 2023. Natural disasters and investors buying housing stock have further tightened the market, making homeownership feel out of reach for many families.
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“Homeownership should be attainable and realistic for everyone, and credit unions believe that,” said Sharee Adkins, EVP and Chief Impact Officer for GoWest Credit Union Association. “Credit unions have a unique structure that makes this possible. We see people as people, not just money or an account number. That’s one of the many ways we are different.”
Across the U.S., credit unions are creating innovative programs and opportunities to address the housing crisis, often collaborating in ways that traditional banks cannot. By pooling resources across regions, they deliver housing solutions that have a far-reaching impact. In Tucson, five local credit unions—Pima Federal, Tucson Federal, Vantage West, Hughes Federal, and Pyramid Federal—joined forces to create the Tucson Welcome Home program. This initiative provides 100% financing and removes down payments, private mortgage insurance, and origination fees, lowering key barriers for low- to moderate-income families and essential workers. So far, 35 households in Southern Arizona have been able to achieve homeownership through this program.
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“The positive ripple effects of addressing housing insecurity can’t be overstated and will benefit Tucson and the surrounding community for years to come,” shared Dustin Powell, CEO of Pyramid Federal Credit Union. “Collaborative initiatives like this highlight the true impact credit unions have in the communities they serve.”
Similarly, in Washington state, five credit unions—BECU, Salal Credit Union, Sound Credit Union, Verity Credit Union, and WSECU—partnered with the Evergreen Impact Housing Fund and developer DevCo to bring 275 affordable apartment units to working families in Renton with the Astra housing development. The opening of the Astra apartments on June 21 marked not just a milestone in addressing the housing crisis but also a celebration of the dedication of credit unions committed to uplifting their communities.
“Credit unions are innovators and collaborators — we see this time and again,” said Ann Flannigan, VP of Public Relations for WSECU. “These attributes help us develop creative solutions to regional affordable housing challenges. None of us can move the needle alone, but together, we are finding ways to make progress.”
In Seattle, Verity Credit Union partnered with HomeSight to create the U-Lex project, the region’s first Limited Equity Co-op affordable housing initiative, which addresses the lingering effects of historical redlining in the Othello Square neighborhood. Once described in 1936 as a “definitely declining” area with inconsistent housing quality and transportation issues, Othello Square has transformed into one of Seattle’s most diverse communities, home to residents from over 40 ethnicities and 60 language backgrounds, with a majority of low- to moderate-income families, many of whom are immigrants or refugees. U-Lex provides nearly 100 families the opportunity to stay in their community, close to schools and jobs, while maintaining affordability for the long term.
“We’re proud to support this project, offering an affordable co-op housing solution that celebrates the Othello community and its residents,” said Paul Barenfus, Chief Lending Officer. “It will remain affordable for years to come.”
These examples are just a snapshot of the work credit unions are doing across the country, demonstrating their focus on people, not profits, and showing that when communities come together, real change is possible.
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