Hi Marlo74,
Welcome to the forum and thank you for joining.................
The modifications given are up to the investors that are on the loans..........and investors have not been doing principal reductions.........we have seen some principal forbearances...........but all that does is create a balloon at the end of the loan term of the principal that was taken off of front end of the loan.............so the property would still be underwater. The investor on your first could be either FannieMae or FreddieMac...........but you can ask Citi that question...........if it is......they are looking at modifying the loans in their portfolio that are 90+ days in default...................and the program lowers the rate for the first 2-5 years and then raises it back to the current rate and may also extend terms from 30-40years.................
Call and see what the options are going to be and go from there.........
CitiMortgage for LoanSafe members
1-866-255-3901
Here is a thread I posted regarding the info from the President's speech..............if your investor is Fannie or Freddie...........you may be eligible for the refi............but the reduction amounts are not very significant for the hard hit areas...............
http://www.loansafe.org/forum/stop-f...html#post63591