Freddie-mac meaning

frĕd'ē
One of two federally chartered corporations that buy and pool US mortgages and issue securities based on those pools.
noun
0
0
Federal Home Loan Mortgage Corporation: a corporation sponsored by the federal government which issues securities backed by pools of residential mortgages purchased from lending institutions.
noun
0
0
Any of the securities issued by this corporation.
noun
0
0
A shareholder-owned company that was set up by Congress in 1979 with the objective of stabilizing the U.S. mortgage markets and expanding opportunities for home ownership and affordable rental housing. Freddie Mac does not issue mortgages itself, but purchases them from lenders throughout the U.S. Those loans are packaged together and sold to investors in a process called securitization. When Freddie Mac buys mortgages, it allows mortgage lenders to make additional loans to homeowners, which ultimately provides low- to middle-income homeowners and renters with lower housing costs and better access to home financing. Freddie Mac also invests directly in mortgages. It funds the purchases by selling bonds to investors. Through the purchases Freddie Mac is able to give investors another way to indirectly invest in mortgages in the U.S. and thus provide people with more affordable mortgage financing. The full name of Freddie Mac is the Federal Home Loan Mortgage Corp. (FHLMC), which is infrequently used.
0
0
(finance) Widely-used nickname for the Federal Home Loan Mortgage Corporation (FHLMC), a private, stockholder-owned corporation sponsored by the US government, established in 1968 to provide market competition for the Federal National Mortgage Association.
pronoun
0
0
Advertisement

Origin of freddie-mac

  • Alteration of Fed(eral Home Loan) M(ortgage) C(ompany)
    From American Heritage Dictionary of the English Language, 5th Edition