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Why buy an MBS when you can buy a mortgage pool from Fannie or Freddie directly? The fees are lower, but you own the full mortgage -- and the full risk of defa
by throwaway2037 3y ago
Why buy an MBS when you can buy a mortgage pool from Fannie or Freddie directly? The fees are lower, but you own the full mortgage -- and the full risk of default from borrowers. MBS is better for Alt-A and below credit scores, where you want to protect yourself against losses.
- SilasX 3y agoLink to where you would do this?
- throwaway2037 3y agoMortgage pools are only for institutions and/or very wealthy (private banked) individuals. If you are already private banked, ask your rep.
- SilasX 3y agoWell, then I guess you have your answer to this: > Why buy an MBS when you can buy a mortgage pool from Fannie or Freddie directly?