Final answer:
Department of Veterans Affairs loans are funded and provided by approved lenders. These loans offer favorable terms for American veterans and are backed by the U.S. Department of Veterans Affairs. The correct option is C.
Step-by-step explanation:
Department of Veterans Affairs (VA) loans are not funded by the HUD, Fannie Mae, or the secondary market. Instead, they are funded and provided by approved lenders.
VA loans are a type of mortgage loan that is guaranteed by the U.S. Department of Veterans Affairs and are made available to eligible veterans, service members, and certain members of their families. These loans are designed to help American veterans purchase properties with favorable loan terms and conditions, often without requiring a down payment.
While the VA does not lend money for VA loans, it backs loans made by private lenders (banks, savings and loans, or mortgage companies) to veterans.