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guaranteed mortgage certificate

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guaranteed mortgage certificate
A pass through issued by Freddie Mac in which conventional mortgages purchased by Freddie Mac are resold to investors in $100,000, $500,000, and $1,000,000 principal amounts. Interest is paid semiannually and principal repayments are made annually. See also pass-through security.


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The long-term 'AAA' rating on the 2007 series A bonds reflects the current and projected composition of the single-family mortgage portfolio, which consists primarily of Ginnie Mae and Fannie Mae guaranteed mortgage certificates and may include Freddie Mac certificates using a portion of the proceeds from this issue.
The program primarily consists of Ginnie Mae and Fannie Mae- guaranteed mortgage certificates.
 
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