There's some interesting speculation that Fannie Mae and Freddie Mac may start to refinance mortgages with loan-to-value ratios above 105% at very favorable terms. These opportunities are aimed at homeowners who have been paying their mortgage on time, but who are finding themselves owing more than their home is worth.
Currently, opportunities to refinance with favorable terms exist for borrowers with loan-to-value ratios up to 105%. Though raising the permitted loan-to-value ratio is being considered by the administration, there's no firm date for when this will happen.
A recent article in Bloomberg News explores some logistics of an .expanded mortgage refinancing scheme