[jin-ee] 
| 1. | Government National Mortgage Association. |
| 2. | a bond or certificate sold by the Government National Mortgage Association. |
| a U.S. government-owned corporation whose chief function is to help finance government-guaranteed home mortgages through the sale of bonds. Abbreviation: GNMA |
| Gin·nie Mae (jĭn'ē mā') n. A security issued by the Government National Mortgage Association and secured by mortgages serviced by certain federal agencies. [Alteration of G(overnment) N(ational) M(ortgage) A(ssociation).] |
Ginnie Mae - Government National Mortgage Association - GNMA
A wholly-owned U.S. government corporation within the U.S. Department of Housing and Urban Development (HUD). The main focus of Ginnie Mae is to ensure liquidity for U.S. government-insured mortgages including those insured by the Federal Housing Administration (FHA), the Veterans Administration (VA) and the Rural Housing Administration (RHA). The majority of mortgages securitized as Ginnie Mae mortgage-backed securities are those guaranteed by FHA, which are typically mortgages for first-time home buyers and low-income borrowers.
Investopedia Commentary
Ginnie Mae does not issue, sell or buy mortgage-backed securities, nor does it purchase mortgage loans. It simply guarantees (insures) the timely payment of principal and interest from approved issuers like the Farmers Home Administration.
Related Links
The REIT Way
See also: Fannie Mae, Freddie Mac, Mortgage, Mortgage-Backed Securities - MBS
Also spelled: GNMA
Ginnie Mae
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