Why the federal government now holds nearly 50% of all residential mortgages

50-percentBy Daniel Goldstein | MarketWatch

Mortgage lending levels are beginning to recover from the real estate crash of the Great Recession, but a large number of potential American home buyers are still being locked out of the mortgage market.

That’s because although you may be able to get a mortgage from your bank, few outside the government want to buy it. And that makes your bank less likely to write additional loans.

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