This Financial Insights Perspective reviews the takeover of mortgage giants Fannie Mae and Freddie Mac by the Federal Finance Housing Agency. "A perfect storm" has hit the U.S. mortgage industry. This has led to risk within the mortgage industry reaching an intolerable level, and the takeover of mortgage giants Fannie Mae and Freddie Mac by the Federal Housing Finance Agency (FHFA). Financial Insights' opinion is that this is a positive development for the economy and mortgage industry, but not a long-term solution to repair a fundamentally damaged market.