08-28-2025, 05:07 PM
It's more correct to state that no financial institution will write a loan that does not follow Fannie/Freddie "guidelines" because the resulting mortgage won't be "saleable" on the secondary market. Any institution that uses its own money (sometimes called a "portfolio loan", meaning they keep it on their own books) is free to write their own rules because the loan doesn't have to be "saleable". Seller financing is a good example of this.

