Friday, January 13, 2012
FHA loans are originated from funds furnished by ??? The Gov, FNMA Does anyone know who??
FHA loans are made by private mortgage brokers or banks and Savings and Loans. These companies make the loans, but they are guaranteed by FHA if they meet all the requirements. Most of the loans are sold to GNMA which is similar to FNMA. FNMA probably buys some of them, but FNMA buys more conventional loans. GNMA buys mostly FHA and other government guaranteed loans. FNMA (Fannie Mae) stands for Federal National Mortgage ociation. GNMA (GinnieMae) stands for Government National Mortgage ociation. FNMA is a private company with publically traded stock that is strongly backed by the USA government. I think GNMA is still owned by the government, but I am not 100% sure on that. There was a big push to sell stock and make them an independent company too, but I do not think it happened yet. Another company FHLMC (Freddie Mac) is more similar to FNMA.
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