What is Ginnie Mae's primary mission?

Ginnie Mae's primary mission focuses on operating a mortgage-backed security program. This program plays a critical role in the U.S. housing finance system by facilitating the availability of affordable housing through the enhancement of liquidity in the mortgage market. Ginnie Mae does this by guaranteeing mortgage-backed securities that are backed by government-insured or guaranteed loans, such as those insured by the Federal Housing Administration (FHA) or the Department of Veterans Affairs (VA).

By ensuring that these securities are attractive to investors, Ginnie Mae helps mobilize capital for home financing, ultimately making it easier for consumers to obtain mortgages. This mission supports both the stability of the housing market and access to home ownership for lower and moderate-income Americans.

The other options provide alternatives that do not align with Ginnie Mae's direct objectives. For example, Ginnie Mae does not directly offer loans to home buyers or regulate mortgage prices; its focus is on the secondary mortgage market rather than on the primary lending process or pricing regulatory frameworks. Furthermore, while interest rate subsidies might relate to broader housing policies, Ginnie Mae's role is more about market liquidity than actively providing financial subsidies.