Our single-family business segment supports responsible, sustainable homeownership. We do so primarily through the work of our Single-Family Division and Capital Markets Division.
Those divisions work with lenders of all sizes – national, regional, and community lenders and credit unions – to buy conventional, conforming mortgage loans for one- to four-unit homes – including condominiums and manufactured homes – up to a certain dollar amount set by our regulator. As part of our mission, we are committed to creating homeownership opportunities for people hoping to buy a home for the first time, earning low and moderate incomes, and living in underserved markets.
Because lenders know they can sell loans to us, they are more willing to make long-term, fixed-rate loans, which make mortgage payments more affordable to more households. When a homeowner faces financial difficulties, we work with the lender to help the borrower avoid foreclosure, where possible, or exit homeownership as smoothly as possible.
We also promote liquidity and make funding more available to borrowers by purchasing mortgage-related securities guaranteed by Freddie Mac and other financial institutions as investments. We fund these investments by issuing corporate debt securities. Freddie Mac’s investors include but are not limited to central and commercial banks, pension funds, insurance companies, and securities dealers from around the world.
