Under a new stimulus plan announced this week, the Federal Reserve will buy up billions of dollars of mortgage-backed securities, a move that could bring lower interest rates and a boost to the U.S. housing market, the Chicago Tribune reports.  The goal is that the plan will “push already historically low mortgage rates down further for a longer period, spurring refinancing activity and home sales.”

In other news:

FHA Eases Some Key Condo Financing Limits – Speaking of Real Estate blog

More than 1 million HAMP mods canceled – HousingWire

Freddie Mac: Mortgage rates hold steady; 30-year fixed at 3.55% – Chicago Tribune