Definition: Freddie Mac, the Federal Home Loan Mortgage Corporation, is a government-sponsored enterprise that purchases eligible mortgages and supports mortgage funding through the secondary market.
Example
A lender sells qualifying mortgages to Freddie Mac, helping free funds for new borrowers.
Keep the distinction clear
Freddie Mac is not a retail mortgage lender to individual homebuyers. It differs from Ginnie Mae's government-backed securities-guarantee role.
Related terms
Fannie Mae · Ginnie Mae · Secondary Mortgage Market
Keep studying
Primary and Secondary Mortgage Markets: Fannie Mae, Freddie Mac, and Ginnie Mae
References: Freddie Mac: role in housing finance
Pronunciation (US): FRED-ee mak (capitals show stress)
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