Primary Lender

Definition: A lender that extends mortgage credit directly to borrowers in the primary mortgage market.

Example

A bank originates a borrower's home loan and may later hold or sell it.

Keep the distinction clear

Primary market refers to origination; secondary market refers to trading existing loans or related securities. A mortgage broker arranging credit is not necessarily the lender funding it.

Related terms

Primary Mortgage Market · Mortgage Lender · Secondary Mortgage Market

Keep studying

Primary and Secondary Mortgage Markets: Fannie Mae, Freddie Mac, and Ginnie Mae

References: FREC Course II syllabus: investment concepts · California DRE: real estate glossary

Pronunciation (US): PRY-mair-ee LEN-der (capitals show stress)

Pronunciation reference: Merriam-Webster