The good news (to some), the Senate passed an economic stimulus bill which temporarily increases conforming loan limits in high cost areas:
Fannie Mae and Freddie Mac, the government-sponsored mortgage finance companies, will be allowed to buy loans worth as much as $729,750 in expensive markets, an increase over the current $417,000 loan limit, a move that could help struggling homeowners to refinance large mortgages at a lower interest rate.
The bad news (to most), the reason why:
Economic growth in the fourth quarter slowed to a 0.6 percent pace, and U.S. employers cut jobs in January for the first time in four years, raising concern among some economists that the economy may slip into recession.
∙ Senate Approves $151 Billion Economic Stimulus Bill [Bloomberg]
∙ Senate Advances Stimulus Plan Without Any Loan Limit Adjustments [SocketSite]