Questions and answers about the Hope for Homeowners Act of 2008,
passed by Congress last weekend to try to steer as many as 400,000
struggling homeowners away from foreclosu

Q: What exactly will the legislation do?

A: It will allow those who qualify to cancel their old mortgage loans
and replace them with 30-year fixed-rate loans for up to 90 percent of
the home's current value. The FHA will insure a total of $300 billion
of the loans over a three-year period.

But the decision on whether to write such a loan remains up to banks,
which would have to be willing to take a loss on the existing loans in
exchange for avoiding an often-costly foreclosure.


FHA: www.my-quickloans.com