What is Secondary Mortgage Market?
The market where mortgage loans and servicing rights are bought and sold between mortgage originators, mortgage aggregators (securitizers) and investors. The secondary mortgage market is extremely large and liquid. Read more for examples and further explanation including related video clips and also comments
Example explains Secondary Mortgage Market
A large percentage of newly originated mortgages are sold by their originators into the secondary market, where they are packaged into mortgage-backed securities and sold to investors such as pension funds, insurance companies and hedge funds. The secondary mortgage market helps to make credit equally available to all borrowers across geographical locations.
Secondary Mortgage Market definition explanation
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