Better known as "Freddie Mac," the FHLMC is a quasi-government agency and publicly traded company that raises money to purchase mortgage loans from lenders through the sale of FHLMC-guaranteed mortgage participation certificates (PCs). Similar to Fannie Mae (FNMA), Freddie Mac plays an important connection for the flow of funds between the financial investment market (supply) and loan borrowers (demand). Because of Fannie Mae and Freddie Mac, more funds are made available for the housing market—thus making homeownership generally more affordable. For more information, see the "Conforming Loans" article in the "Loan Programs" section.
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