Here’s my quick take on the key issues: 

1. $300 billion in FHA loans for Homeowners to Refinance

CLIFF NOTES:

The Act could avoid foreclosure through refinancing into lower-cost mortgages insured by the Federal Housing Administration (FHA).
THE GOOD NEWS: It will help an anticipated 400,000 people whose loan servicers are willing to accept a write-down on principal.
REALITY: To qualify, borrowers must have a relatively high level of debt to income, use their homes as primary residences and agree to share any profits from any eventual resale with the government.

2.  $4 billion to Buy and Rehab Foreclosed Homes

CLIFF NOTES: The Act offers $4 billion for local communities to buy homes at a discount, rehabilitate them, sell them and use profits for neighborhood development.
THE GOOD NEWS: This could help many low- and moderate-income families in holding on to the American Dream.
REALITY: Should reduce crime, especially in the inner city and low income areas.

3. New Home Buyer Tax Credit of up to $7,500 for Qualified Buyers

 CLIFF NOTES: It’s not really a credit but really a loan.
THE GOOD NEWS: It’s refundable credit and it’s a zero-percent loan. An estimated 3 million buyers could be eligible for the tax credit.
REALITY: You got to pay it back.

4. New Deductions for Real Property Taxes

CLIFF NOTES: New deductions, in addition to the existing standard deductions.
THE GOOD NEWS: It’s effective immediately.
REALITY: These are “above the line” deductions.

5. Change in Vacation-home Status

CLIFF NOTES: The personal resident exclusion is still good on your personal home but not on your vacation home or rental property converted to a home. 
THE GOOD NEWS: It’s effective until Jan. 1, 2009 so you still have time.
REALITY: The decade-long free ride is over.

So is this a real rescue of the real estate and mortgage markets or only a bandage to help us through till we have a new President next year? What do you think?