As we all know FHA is being used to refinance qualifying persons' loans. The other part of the bail out is freezing ARM reset rates to current levels. If I remember correctly the freeze term is 5 years. Thinking about this I've questioned who is this really helping? The homeowners, the mortgage companies, the real estate market? While it is advertised to help the homeowners lets look at a key trend. The average wage and salary is not currently keeping up with cost of living increases. The dollar is suppressed and continuing to decline. While there isn't any real inflations things strangely continue to get more expensive at a noticeable pace to everyone that has to make a decision to prioritize their purchases. So is it really for the home owners? I don't believe it is. When the freeze period is over what is going to happen? Are the same homeowners who qualified for the freeze going to suddenly be able to deal with the new increased rates? I don't believe they will. So who is really benefitting from the freeze? I would have to say it's the lending industry who is the winner. Instead of bailing out the homeowners this move to freeze rates, as I see it, will be used to control the foreclosure rate over time. Those that don't qualify for the freeze are going to be foreclosed now and over the next 5 years. Those that do qualify are going to be foreclosed after the next 5 years and beyond. Or am I looking at this incorrectly? And wouldn't that indicate a market trend of relatively moderate foreclosure rates over the next 10+ years. Seems to me all they're doing with the freeze is slowing down the pace of the inevitable rather than allowing it to come crashing down all at once. And is that going to present us with a downward real estate market over the long term rather than an improving market as is currently being reported for possibly 2009? Whats you're opinion of it?