CONTACT:
Marisa Rawling
Marketing Communications Manager
CMG Mortgage Insurance Co.
22 Fourth Street, Floor 13
San Francisco, CA  94103
Phone:  (415) 284.2519
Fax:  (800) 490.6757
e-Mail: marisa.rawling@cmgmi.com
 
CMG Mortgage Insurance Company Releases White Paper on Real Estate Lending
 
SAN FRANCISCO – December 4, 2007 -- CMG Mortgage Insurance Company (CMG MI) has released an Executive White Paper developed by the Mortgage Insight Panel (MIP), a select group of high-profile mortgage professionals.  “The Basics of Mortgage Lending for Credit Unions” focuses on how mortgage lending can drive long-term relationships with members and outlines practical strategies for credit unions seeking to enter the mortgage marketplace.  The White Paper is available for online reading or download at www.cmgmi.com/whitepaper2007.

Drawn from the top management of credit unions around the country, the MIP works with CMG MI to help educate credit union leadership about the value of real estate lending.  “We know that mortgage lending can, over time, be one of the key services that turns a credit union into a Preferred Financial Institution,” said Bob Cejka, senior vice president of Alaska USA Mortgage Company, one of the paper’s co-authors.  “With credit unions currently holding only a 2 percent share of member mortgages, there’s plenty of room to grow.”

“The market may be experiencing some turmoil right now, but that opens up opportunities for credit unions,” he continued.  “Homebuyers need someone to finance their home purchases, and lenders are largely backing away because of the credit crunch.  Credit unions are in a position to make those loans – most of them did not participate in subprime lending and still have assets to lend.”

The Paper reviews the benefits and risks associated with mortgage lending in detail, outlining strategies appropriate to various sizes and asset holdings of credit unions.   Risk management and the role of the secondary market receive close attention as the Paper identifies key economic variables that may influence the success of a credit union’s chosen strategy.

“In developing this Executive White Paper, the MIP has performed a signal service for the entire credit union community,” said Brian Shepherd, senior vice president and general manager of CMG MI.  “We believe it offers excellent industry perspectives on the value of mortgage lending to credit unions and their members. CMG MI is pleased to work with the MIP to help facilitate the Paper’s release through our Web site.”

“Developing educational tools of this kind for the credit union industry is an important part of CMG MI’s mission,” said Kathy Schroeder, senior vice president and general manager of CMG MI.  “The White Paper explains how mortgage lending offers real opportunities for credit unions.  It offers practical advice from experts on how a credit union can create a thriving real estate lending operation that benefits its members and itself.”

About CMG MI
Licensed in all states, CMG Mortgage Insurance Company (CMG MI) operates as a corporate joint venture between CUNA Mutual Investment Corporation and PMI Mortgage Insurance Co.  The company provides private mortgage guaranty insurance to protect credit unions against potential losses in the event of borrower default.  By covering default risk on residential first mortgage loans, CMG MI facilitates the sale of low-down-payment mortgages in the secondary mortgage market and expands homeownership opportunities by enabling credit union members to buy a home with a down payment of less than 20 percent.  For more information, visit www.cmgmi.com or call (800) 909.4264.