Some Disturbing News! According to documents that Congressmen Cummings (MD) & Tierney (MA) received recently, in the case of Fannie Mae - connected borrowers, the reason that loan principal reductions are being frequently shot down is that the acting Director of FHFA, Edward DeMarco, is ideologically opposed to loan principal reductions. FHFA claims all decisions are fact-based, but, as far as can be seen, he doesn't want to push for many reductions for fear that it will have to be taxpayer supported,even if taxpayer support of saving folks' homes wouldn't be such a bad idea.Might be a good reason to write to your Congressman and/or Senator and rattle someone's cage. Good luck.