Housing agencies to widen homeowner help: sources

WASHINGTON (Reuters) - Leading U.S. housing agencies will on Tuesday announce efforts to loosen loan terms for troubled borrowers in an effort to reverse a rising tide of foreclosures, sources familiar with the plan said late on Monday.

The head of the Department of Housing and Urban Development as well as the chief regulator for Fannie Mae (FNM.P) and Freddie Mac (FRE.P) will announce the new steps at a news conference Tuesday afternoon, the sources said.

HUD will make it easier for borrowers to qualify for a loan guarantee under the 'Hope for Homeowners' program that got a slow start in October, but promises to refinance as much as $300 billion in failing loans.

Fannie Mae and Freddie Mac will also announce new efforts to make home loans more affordable for borrowers who are struggling to make monthly payments, the sources said.

(Reporting by Patrick Rucker; editing by Gary Crosse)