The Fed appears increasingly more determined to help the ailing housing market. Another round of asset purchases focusing on mortgage-backed securities, perhaps in the first half of next year, would complement the recent widening of the HARP refinancing scheme. But the ongoing crisis in Europe may mean that the Fed is almost powerless to reduce mortgage rates. In any case, any boost to housing from lower mortgage rates and a wider HARP will be modest when access to credit for first-time buyers is limited and when underwater borrowers have little incentive to remain current on their loans.