Which of the following types of institutions has historically been the largest purchaser of residential mortgages?

Question

Quizplus · Accepted Answer

Government sponsored enterprises, such as Fannie Mae and Freddie Mac, have historically been the largest purchasers of residential mortgages. They were created by the government to increase access to affordable housing by buying mortgages from lenders and then bundling them into securities for investors. This allows lenders to free up capital and continue to make new loans, while investors receive a stream of income from the mortgage payments.

Which of the Following Types of Institutions Has Historically Been