Economic stimulus plan could lower mortgage costs 

Homebuyers could see lower borrowing costs as the federal government works to revitalize the home-mortgage market. The plan, announced Thursday, is part of a broader economic stimulus program. Although still in planning stages, the mortgage relief plan would allow Fannie Mae and Freddie Mac to purchase or guarantee loans for up to 125 percent of an area’s median home price with a cap at about $730,000, up from the current limit of $417,000. Also, the plan would allow the Federal Housing Administration to insure loans as high as $730,000, up from $367,000.