Ace the California Real Estate Exam 2026 – Your Key to Property Success!

The primary activities of FNMA, also known as Fannie Mae, in the secondary money market involve purchasing and securitizing various types of mortgage loans to facilitate liquidity in the mortgage market. Fannie Mae operates broadly within the secondary market by buying loans that meet its conforming criteria, which includes a wide range of residential mortgages, not just second loans or loans of limited amounts.

The correct answer reflects that Fannie Mae deals with a comprehensive array of mortgage types, and not just a specific niche, such as second loans, or loans from only government-backed programs like FHA or VA. Thus, Fannie Mae's role encompasses a wide range of property types and loan products, making the choice related to all types of real estate loans accurate in representing its activities.

Fannie Mae’s involvement is not limited to any single type of loan or amount, which further emphasizes its expansive function in supporting the housing finance system through various mortgage products.