The Federal Home Loan banks are picking up where some of the nation's largest correspondent lenders left off.

Six Federal Home Loan banks have been dramatically increasing purchases of home loans from their member banks and are selling the loans to Fannie Mae, filling the gap created by large aggregators like Bank of America (BAC) that exited the correspondent lending business late last year.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.