Credit gives the word to pay either by repaying it or returning those resources later. In other words, this credit is the method of making the reciprocity formal, legally enforceable, and of course, extensible to a vast group of people who are not related.
However, the resources provided may be financial or have goods or services, like consumer credit. The credit covers any form of deferred payment. Credit generally gets extended by the creditor, the debtor or lender, and sometimes the borrower.
The FHMLC is commonly called Freddie Mac and is known for its pivotal role in buying, guaranteeing and securitizing home loans/mortgages. It is one of the pivotal components of the secondary mortgage segment. This purchases loans in sizable volumes from lenders and combines the same before selling them in the form of MBS (mortgage backed securities). Freddie Mac is publicly traded like its sibling entity, Fannie Mae. The key difference is that the former gets loans from smaller banking entities, while the latter gets the same from commercial or retail banking institutions.
Freddie Mac or the FHMLC has a direct impact on the real estate and property market. This ensures that more people can rent housing units or buy homes in the middle-income bracket. This naturally boosts the real estate or property market with its operations.
