The Federal Home Loan Mortgage Corporation or Freddie Mac is a public state-sponsored company that is based in Virginia. It was established with the aim of expanding the secondary market for mortgages in the United State.
Along with Fannie Mae, the company purchases on secondary market and pools or sells them to other investors in the open market. This helps increase the available money supply for new property purchases or mortgage lending.
What can we do with Freddie Mac
Freddie Mac allows for more affordable and accessible rental housing and homeownership through three main services:
- Single family
This product is for industry partners, lenders, and servicers. As a customer, they will have a solid set of mortgage products for the borrowers, servicing solutions to assist homeowners, and technology solutions to streamline the process.
The multi-family packages are provided to investors, borrowers, servicers, and lenders so that they can finance their properties such as senior housing, student housing, or market-rate apartments.
- Capital market
This product facilitates liquidity of the mortgage market and allows for more funds by purchasing any mortgage-related security guaranteed by Freddie Mac. These investments will be funded by issuing the corporate debt securities.
Freddie Mac guidelines to sign up for a new account
Step 1: Go to the official site of Freddie Mac at www.freddiemac.com.
Step 2: Choose tab “Single-Family” on the top area.
Step 3: Choose “Become a Freddie Mac Seller/Servicer”.
Step 4: Choose “Apply to Become Freddie Mac Single-Family Customer”.
Step 5: Download the application document checklist and mark off all the documents that you collected and submitted.
Step 6: Fill out the pre-application form.
Step 7: After 2 days, you will receive your UserID and Password. Use these detail to fill out the online form.
Step 8: Clip “Submit” to finish the registration.
Benefits of registering & using Freddie Mac
– Make use of different resources available to help you do business with Freddie Mac.
– Reporting Change Initiative to convert your requirements to the industry standard as well as update remittance cycles.
– Affordable lending tools and products to reach more qualified borrowers as well as expand your homeownership responsibly.
– If you don’t know where to start using, then check out the Freddie Mac Learning feature to get all the education and learning resources they offer.