Principal Forgiveness Could Reduce Tax Liability for Homeowners

If Fannie Mae and Freddie Mac can reduce loan balances for borrowers that owe more money than their homes are worth, it would in turn reduce mortgage defaults and save the government a significant amount of money...


Read the entire article here on the Wall Street Journal Blog: 

http://blogs.wsj.com/developments/2013/05/06/report-principal-forgiveness-could-reduce-costs-for-taxpayers/