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9 Cards in this Set
- Front
- Back
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CalHFA
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program is designed to help first-time homebuyers acquire a home in California’s expensive housing market. This state agency sells mortgage revenue bonds to investors, and then uses the funds to buy loans from approved lenders who make loans under CalHFA guidelines
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Department of Veterans Affairs (VA)
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guarantees a portion of of a VA loan, while the Federal Housing Administration insures the loan. The VA guaranteed amount is calculated as 25 percent of the current Federal Home Loan Mortgage Corporation (Freddie Mac) conforming loan amount
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Cal-Vet loans
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program is administered by the State of California, Department of Veterans Affairs, Division of Farms and Home Purchases. The veteran (buyer) normally deals directly with this agency, although recent rules allow a mortgage loan broker to start the loan process on behalf of the buyer. No other lender is involved; the state makes the loan to the veteran directly
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Federal Home Loan Mortgage Corporation (Freddie Mac)
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created in 1970 under the Emergency Home Finance Act. The main function of Freddie Mac was to provide a secondary mortgage market for the savings and loan associations. However, today it also deals with other institutional lenders
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Federal Housing Administration (FHA)
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part of the Department of Housing and Urban Development (HUD). Established in 1934 to improve the construction and financing of housing.
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Federal National Mortgage Association (Fannie Mae)
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Established in 1938 by the U.S. Congress, its main job is to provide a secondary market for mortgages. Fannie Mae remained a part of the federal government until 1968, when it became a private corporation. Its main function today is still to maintain a secondary market
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FHA 203b program
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most important section for the average homebuyer or real estate agent.
minimum cash investment of 3.5%. See pg. 245 for details |
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Government National
Mortgage Association (Ginnie Mae) |
wholly owned corporation of the U.S. government. It was created in 1968, when Fannie Mae became a private corporation. At the time, Fannie Mae was relieved of two of its duties, which were given to Ginnie Mae. These were as follows:
1. The management and liquidation of certain mortgages previously acquired by the U.S. government 2. Special assistance functions, including the development of a mortgage-backed security program |
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Secondary Mortgage Market
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a market where existing real estate loans are bought and sold
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