Credit Unions vs Banks for Real Estate Investors with Mark Ritter

Did you know credit unions could be your secret weapon in real estate investing? 


Mark Ritter, a credit union and banking expert, joins us to discuss the advantages of working with Credit Unions for real estate investors. He explains how credit unions differ from other financial institutions and the mistakes investors make when working with a lender. Mark also highlights the unique benefits of credit unions, such as their cooperative structure, which is owned by members and managed by an elected board of directors. Mark provides excellent insight into this area and encourages people to take advantage of them as they offer fairer terms than traditional banks, cannot charge prepayment penalties, and keep and manage their funds. 


Listen to learn more about how real estate investors can benefit from credit unions and build long-term relationships with lenders!


[00:00 – 06:42] The Advantages of Credit Unions for Real Estate Investors 

  • Introducing Mark to the show
  • Credit unions are cooperatives, not-for-profit financial cooperatives owned by the members of the organization
  • Credit unions offer a relationship with their lender and local institution


[06:43 – 14:10] Credit Unions: A Different Approach to Obtaining Investment Property Loans

  • Credit Unions cooperate and share resources to increase scale
  • Credit Unions are generally smaller than banks, with an average of 250 million in assets
  • Consolidation is happening within the credit union space, but the philosophy of helping people in their local marketplace remains
  • Obtaining a loan from a credit union requires collecting financials, sales agreements, appraisals, rent rolls, and projections


[14:11 – 22:58] Credit Union Balance Sheets

  • Federal credit unions cannot have prepayment penalties
  • Credit unions keep and manage their own money, not borrowing from Wall Street
  • For every dollar of deposits, credit unions lend out 85 cents to local businesses and members
  • Mistakes to avoid when getting an investment property loan include not understanding the lender, talking to the wrong person, and ignoring requested information


[22:59 – 27:15] Closing Segment

  • Best investment: helping out a small tea shop
  • Worst investment: a loan that was government-guaranteed
  • The most important lesson learned: staying within your lane of what you know



“Credit unions philosophically are somewhere that you can have that relationship and conversation to get all of your things done that everybody listening knows credit unions do, but also the real estate piece of it as well for your investments.” – Mark Ritter


“We don’t just simply jam who you are into a machine, and out comes an answer. We like to have conversations about who you are. What are you thinking about for this project? What do you have and where are you going in the future?” – Mark Ritter

Connect with Mark!



Invest passively in multiple commercial real estate assets such as apartments, self-storage, medical facilities, hotels, and more through


Track your rental property’s finances with Stessa. Go to


Join our Passive Investor Club to access passive commercial real estate investment opportunities.


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About our Guest

Mark Ritter

Mark is the CEO of Nu Direction Lending & Member Business Financial Services. Both organizations are “CUSOs” (Credit Union Service Organizations), meaning they are owned by credit unions and designed to help credit unions fund more loans to real estate investors and small business owners in their communities. Mark is known as a turnaround specialist, transforming unprofitable branches into revenue-generating machines by championing strategic change. He would love to discuss finding suitable financing options to unlock the right kind of business growth.

This episode is brought to you by Roofstock, the world’s largest residential real estate investing marketplace. Open an account for free and start browsing turnkey investment properties today.

We are also supported by You Need a Budget. YNAB is a different kind of personal financial tracking company. They’ll help you track and plan your money with your priorities in mind. Open your trial account today and give it a shot!

About the Host

Taylor on stage

Hi, I’m Taylor. To date I’ve acquired, partnered on, invested in, or had a hand in over $150 Million in Commercial Real Estate Investments. I help busy professionals invest in multifamily and self storage real estate through my company NT Capital

I started the Passive Wealth Strategy Show to teach busy professionals how they can build passive cash flow and protect their wealth by investing in Main Street real estate, instead of Wall Street.

Don’t forget to follow on Instagram @passive_wealth_strategies

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Real Listener Reviews

Extremely useful podcast
Extremely useful podcast
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Short, impactful with excellent guests. If you have a full time W-2 job or business and are looking for ways to get involved in real estate on the side, this is for you.
Simple & effective information!
Simple & effective information!
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This podcast is worth listening to for investors at all levels. The information is simplified for the high level investors but detailed enough to educate seasoned investors about nuances of the business. I recommend!
Awesome Podcast!!!
Awesome Podcast!!!
@Clarisse Gomez
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The host of Passive Wealth Strategies for Busy Professionals podcast highlights all aspects of real estate investing and more in this can’t miss podcast! The host and expert guests offer insightful advice and information that is helpful to anyone that listens!
Great podcast!
Great podcast!
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Love all the information and insights from Taylor and his guest. Fun and entertaining. Highly recommend.

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