Definition: An older or broad term for an institution that purchases existing mortgage loans in the secondary market, rather than originating the borrower's loan directly.
Example
An originating lender sells a mortgage to a secondary-market purchaser after closing.
Keep the distinction clear
Do not confuse secondary-market participation with making a second mortgage. A purchaser, guarantor, and loan servicer can also perform different functions.
Related terms
Secondary Mortgage Market · Primary Lender · Second Mortgage
Keep studying
Primary and Secondary Mortgage Markets: Fannie Mae, Freddie Mac, and Ginnie Mae
References: Freddie Mac: role in housing finance
Pronunciation (US): SEK-un-dair-ee LEN-der (capitals show stress)
Pronunciation reference: Merriam-Webster
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