It appears that Citigroup, Inc., has decided to deal with those homeowners who cannot qualify for a Modification or a Short Sale by allowing them to stay in the home for 6 months, continue to maintain the property by paying utilities, etc., and they turning the keys of the house over to Citi at the end of 6 months.  This “Pilot,” program is going to only serve the needs of a limited number of homeowners in Texas, Florida, Illinois, Michigan, New Jersey and Ohio.

I’m wondering why they didn’t include Nevada on this list?

According to Citi the program may be expanded nationwide. This program is a direct result of the fairly new wrinkle in the system known as “Strategic Defaults,” where homeowners have purposefully fallen behind in their mortgages in the hopes of possibly obtaining a modification with their lender.  This program will essentially be a Deed in Lieu of Foreclosure and it will feature easier hit to the borrowers credit score than a Foreclosure.

Check out the article below and let me know what you think….

Citi to let distressed homeowners stay for 6 mos. – Boston.com