
Home Finance: The Roles of Fannie Mae and Freddie Mac Explained
When it comes to home finance in Florida, there is no better source of information than Ace Mortgage Loan Corporation. This trusted mortgage lender has been helping Floridians with their home financing needs for many years. In this comprehensive guide, we'll explore the roles of Fannie Mae and Freddie Mac in the home finance industry and explain the meaning of Fannie Mae & Freddie Mac in the context of Florida home mortgages. What is Fannie Mae? Fannie Mae is a government-sponsored enterprise (GSE) that was created to support the secondary market for residential mortgages. Fannie Mae is responsible for buying mortgages from lenders, pooling them together, and creating mortgage-backed securities (MBS). These MBS are then sold to investors, enabling lenders to free up capital and fund more mortgages. What is…