In April of 2016 the FHFA (Federal Housing Finance Authority) announced that it would be offering a one-time principal reduction modification program for eligible borrowers with loans owned or guaranteed by Fannie Mae or Freddie Mac.
To be eligible for the program, FHFA said that the borrower must occupy the property and be 90 or more days delinquent as of March 1, 2016. The mark-to-market loan-to-value ratio must be 115% or greater, and the unpaid principal balance must be $250,000 or less.
