California Real Estate Practice Exam 2026 - Free Real Estate Practice Questions and Study Guide

Question: 1 / 740

What agency buys residential conventional mortgage loans?

Federal National Mortgage Association

Federal Home Loan Bank

Federal Home Loan Mortgage Corporation

While each of the other options may be involved in the mortgage industry, they are not the primary agency responsible for purchasing residential conventional mortgage loans.

A The Federal National Mortgage Association (Fannie Mae) primarily deals with purchasing and guaranteeing mortgage loans through its own network of lenders, but focuses mostly on low- and middle-income borrowers.

B: The Federal Home Loan Bank provides support and financing to other lending institutions, including community banks and credit unions.

D: The Government National Mortgage Association (Ginnie Mae) is responsible for guaranteeing government-backed loans, such as FHA and VA loans.

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Government National Mortgage Association

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