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Fannie Mae and Freddie Mac: Why They Matter When Getting a Mortgage

Fannie Mae and Freddie Mac are the financial fuel that power the mortgage loan industry. The two entities are officially named the Federal National Mortgage Association (FNMA or “Fannie Mae”) and the Federal Home Loan Mortgage Corporation (FHLMC or “Freddie Mac”). Despite the government-sounding titles, these organizations are actually shareholder-owned, for-profit companies that influence the…

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