According to The Los Angeles Times and the article Fannie, Freddie are set to reduce mortgage balances in California the mortgage giants Freddie Mac and Fannie Mae has signed up to join the Keep your Home California program. The program is a $2 billion program designed to prevent foreclosures. The program has recently changed a requirement where banks will match the tax payers funds at the time when the home owner receives reductions through the program. Some borrowers through Fannie and Freddie might notice that their mortgages declined through the principle reduction.
Fannie & Freddie Joins Keep Your Home California Program