About Fannie Mae and Freddie Mac for First Time Home Buyers

Good morning and welcome to Houston first time home buyers edition. Known as the government sponsored enterprises (GSEs), both Fannie Mae and Freddie Mac helps keep the flow of needed monies reliable and affordable in the housing market, by way of buying mortgages from lenders, then either holding them or package them and sell to investors, generating monies that make it possible for home buyers to finance the purchase of their home using conventional loans guaranteed by Fannie and Freddie. 

First chartered by the United States government in 1938, Fannie Mae help ensure a reliable and affordable supply of mortgage funds, while Freddie Mac, chartered by Congress in 1970, provides similar service as Fannie Mae. With the consistent and affordable flow of money they provide to saving and loans, bank, and mortgage companies, both Freddie Mac and Fannie Mae make financing the purchase of you new home accessible.

Loans that are guarantee (conventional) from Fannie and Freddie reduce risk for both the lenders that provide the loans and the investors that purchase them. This in turn make mortgage loans more affordable for first time home buyers such as yourself. 

As always, thank you so much for stopping by. Remember, if you or someone you know is thinking of purchasing a first home, please give us a call or Email us. We are here to help. We have been helping Houston first time home buyers since 2011 and we can help you. I hope you have an amazing day. Until next time...Diana