The secondary mortgage market refers to the relationship between lenders and mortgage companies and Fannie Mae. It was started as a publicly-traded company and tasked with expanding the secondary mortgage market. What are Fannie Mae & Freddie Mac? Fannie Maeįannie Mae was established in 1938 as a part of then-president FDR’s New Deal. Fannie Mae and Freddie Mac operate in what is known as the secondary mortgage market, and function to keep the mortgage industry healthy and active for borrowers and lenders. A GSE is a company founded by the government, typically in the financial sector, in order to stabilize markets and regulate cash-flow. Fannie Mae (Federal National Mortgage Association) and Freddie Mac (Federal Home Loan Mortgage Corporation) are Government Sponsored Enterprises, or GSEs. If you’re looking into getting a mortgage, you may find yourself asking “Who are Fannie Mae and Freddie Mac and what do they want with my mortgage?” But, that’s the wrong question.
0 kommentar(er)
