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NCB’s Residential Lending Activity Substantially Surpasses Mid-Year 2009 Predictions. Bank Arranges $143 million in Financing for Cooperative Owners Nationwide

Washington, DC (August 11, 2009) — NCB, a leading financial institution nationwide, has exceeded expectations and arranged more than $143 million in financing for cooperatives and other residential properties nationwide in the first half of 2009.  With many banks experiencing a dramatic decline in available capital for residential loans, NCB has continued to be an important source of real estate financing across the country.  Furthering its reputation as a reliable lender in the cooperative market, NCB has seen an 18 percent increase in origination activity compared to the first six months of 2008. 

NCB is extremely proud of its residential lending activity since the start of the year, and most importantly its role as a valuable source of capital for consumers interested in purchasing a co-op or refinancing existing debt,” said Chris Goettke, Senior Vice President of Residential Lending. “In the tight lending market, where so many institutions of our size have all but halted lending, we are pleased to be fulfilling our mission, and providing financial assistance through fixed rate mortgage loans for cooperative homeowners nationwide.”

Looking at some market highlights, the New York City-based lending team originated $46.7 million almost doubling the number of clients assisted in the first half of 2008. While local and national reports focused on a slower market, these business development officers were busy with home buyers and owners who continued to borrow to meet a variety of needs from first mortgages to rate/term and cash-out refinances.  On the West coast, the California lending team originated $52.3 million focusing on cooperative customers in Walnut Creek, San Francisco, Los Angeles and Laguna Woods.  The DC, IL and WA coop markets remain strong with over $20 million in originations.  

“We are pleased to see more of customers take advantage of the currently advantageous refinance market to lower monthly payments, move from adjustable rate loans to 30-year fixed rate loans, and arrange first mortgages to purchase homes,” said Mr. Goettke.

The Bank also was pleased to see continued success in its VIP Customer Retention program.  This program assists existing bank customers with portfolio held adjustable rate mortgages.  Through the VIP program qualified borrowers, with a minimal fee and reduced paperwork, are allowed to update their existing loans and extend their ARM interest rates for another term. From January 1, 2009 through month end of June, 131 customers have taken advantage of this program.  Prior to adoption of the VIP retention program, these borrowers, with combined outstanding loans of over $65.8 million, would have had to refinance their loans,  pay all normal closing costs, and supply a full loan package with all supporting documentation.

NCB is a full-service financial institution providing term loans, lines of credit, mortgages, construction loans, lease financing and private placements to residential, commercial and small businesses across the country. The Bank is also a member of CDARS network, providing customers with a single source for FDIC insurance on CDs up to $50 million.

 

NCB Financial Group (NCB)  is dedicated to strengthening communities nationwide through the delivery of banking and financial services, complemented by a special focus on cooperative expansion and economic development. Headquartered in Washington, DC, NCB also has offices in Alaska, California, New York and Virginia. To learn more about NCB Financial Group, visit www.ncb.coop.

 

NCB Financial Group (NCB) consists of National Consumer Cooperative Bank, a wholesale funding company; NCB, FSB, a federally-charted savings bank; and, NCB Capital Impact, a 501(c)3 nonprofit.  Loans and other financial services are provided by NCB, FSB and NCB Capital Impact.   Deposit products and services are provided by NCB, FSB, which is a member FDIC.   Each is a separate corporation within the NCB Financial Group.