The U.S. Federal Housing Finance Agency says Fannie Mae and Freddie Mac have dramatically slowed their losses thanks in part to improved underwriting on the loans in mortgage-backed securities but still pose a risk to taxpayers. In its third annual report to Congress, the FHFA, which has regulated the government-sponsored enterprises since 2008, stated that the lenders recorded losses of $28 billion last year, compared with $93.6 billion in 2009.
