Finance
The secondary mortgage market in South Dakota allows lenders to:
AMake second mortgage loans to homeowners
BSell existing mortgages to investors, replenishing funds for new loans✓ Correct
COffer lower rates to secondary applicants
DCreate subordinate liens behind existing mortgages
Explanation
The secondary mortgage market (Fannie Mae, Freddie Mac, Ginnie Mae) allows lenders to sell originated mortgages to investors, freeing up capital to originate new loans.
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