Secondary Mortgage Market Activity
Mortgage originators tend to sell their fixed-rate loans to secondary-market agencies, while holding their adjustable-rate mortgages in their portfolios. As a result, secondary market activity generally drops off when adjustable-rate mortgages gain popularity.
Suggested citation: “Secondary Mortgage Market Activity,” Federal Reserve Bank of Cleveland, Economic Trends, no. 97-06, pp. 17, 06.01.1997.