Hot off the wire, the Obama Administration just announced plans to lower financing costs for homeowners with problem mortgages.
After testing the means of the borrower and setting a new value for the home, the government will subsidize the monthly mortgage payments. FNMA and FHLMC will assist in the process. Not much change with mortgage pricing (still down 2/32’s in choppy trading) as this has to do with the problem children already on the books.
Could be a good thing to help stabilize the foreclosure crisis.