What is a Junior Mortgage?

The primary mortgage market is a market where the borrower and the original lender negotiate in actual mortgage transactions. Any market where the issued mortgage securities are traded among investors is called a subprime mortgage market. The purpose of the primary mortgage market is to bring people seeking mortgage funds together with those willing to invest. The sub-prime market facilitates holders of mortgage-backed securities that need funds to process the securities they own before maturity. Lenders requesting borrowers to use certain collateral as material guarantees are called mortgage loans. ^[1]