The White House is scheduled to announce their new intiative Friday. I am oh so excited to see that Obama is also taking note that many borrowers owe more on their mortgages than their properties are worth. And that his administration is also "encouraging lenders to cut the loan balances of millions of these distressed homeowners and possibly refinance into loans backed by the Federal Housing Administration."
I, unfortunately, am one of those homeowners who is underwater on their mortgage. I pay my monthly bill with no problem, but who knows how long it will be until the market recovers and I can sell my home for enough to at least pay my mortgage back. I'm not planning on selling anytime soon, but, if banks and other lenders are being asked to reduce the principal owed on a loan, and the reduced amount is forgiven as long as the homeowner remains current on the loan for three years, then I want to know where I can sign up?
