The government has asked the banks to slow up on foreclosures and work on and redesign the mortgages where possible. The new stimulus package also includes provisions to work on the cram down and forgiveness of debt between the banks, mortgage holders and the government.

I don’t know what that will do in the long run or if it is the right thing to do to the tax payers.
However, I guess it is something to lessen the pressure on the market.
Richard