[Woodland Hills Worrier]

I am in similar circumstances in California. I believe your mother's ARM might qualify for a principal reduction to 95% of current value. At least that is what the legal agreement states. However, I have not heard of any principal reductions taking place. I am still current as my wife is absolutely panicked by the idea of foreclosure and is juggling the books like crazy just to make the minimum payment. We are $40,000 up in three years on our original $640,000 with the 115% automatic recast approaching. I know there is a great lawyer in Florida who is helping homeowners. I am trying to find out why the legal settlement is not being imposed. Good luck!!!