Finance
In West Virginia, the secondary mortgage market includes agencies like Fannie Mae and Freddie Mac. Their primary function is to:
AMake loans directly to West Virginia homebuyers
BPurchase loans from primary lenders, providing liquidity for new loans✓ Correct
CRegulate mortgage interest rates in West Virginia
DInsure mortgages against borrower default
Explanation
Fannie Mae (FNMA) and Freddie Mac (FHLMC) operate in the secondary mortgage market by purchasing conforming loans from primary lenders (banks, credit unions), providing those lenders with funds to make new loans, thus maintaining liquidity in the mortgage market.
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