Ginnie Mae or the Government National Mortgage Association (GNMA) is a government owned corporation within the Department of Housing and Urban Development. Ginnie Mae secures the following types of loans: FHA, VA, USDA and mortgages for native Americans. Founded in 1968, Ginnie Mae was created to increase afforable housing by guaranteeing government loans, in essense making borrowing costs cheaper for Americans. This allows lenders the ability to reinvest their assets in making new mortgages and promoting home ownership. Ginnie Mae is similar to Fannie Mae or Freddie Mac except the later two are government sponsored entities or GSEs. In addition, the mortgage backed securities that Ginnie Mae guarantees are the only ones that are backed by the “full faith and credit of the United States government.” I’m Stewart Brown, a licensed Mortgage Loan Originator in Palm Springs, California here to simply topics in Real Estate and Mortgage Lending. Please, like, share, follow and subscribe!
