Finance
A 'portfolio loan' offered by a NH community bank is one that:
AConforms to Fannie Mae guidelines and is sold to the secondary market
BThe bank keeps on its own balance sheet, allowing more flexible underwriting not limited to secondary market requirements✓ Correct
CIs guaranteed by FHA
DIs only for investment properties
Explanation
Portfolio loans are kept (held in the lender's portfolio) rather than sold to the secondary market. This allows community banks and credit unions to apply more flexible underwriting criteria for non-conforming situations.
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