Seems that everyone is wondering how the recent real estate decline will affect their bottom line. With gas prices soaring, a lagging economy and foreclosures looming, it seems only natural that people are asking about their homes.
The federal housing bill called the Housing and Economic Recovery Act of 2008 is geared to help stabilize the economy by providing support to first time homeowners and by providing aid to homeowners facing foreclosure. This bill will allow approximately 400,000 homeowners facing foreclosure to refinance their current mortgages with Federal Housing Administration (FHA) backed loans.
The bill also permanently increases the conforming loan limit to $625,500. This is a permanent increase from the former limit of $417,000. This new loan limit will become effective at the expiration of the economic stimulus limits on December 31, 2008. There is some relief in sight!