Last week,  U.S. Housing and Urban Development Secretary Shaun Donovan awarded an additional $1 billion in funding to all states along with a number of counties and local communities suffering from decreasing home values and the resulting blight caused by foreclosed abandoned homes.  HUD’s Neighborhood Stabilization Program (NSP) will support local efforts to reverse the effects these foreclosed properties have on their surrounding neighborhoods. Funds will be used to purchase foreclosed homes at a discount and to rehabilitate or redevelop them in order to respond to rising foreclosures and falling home values. 

Funds will be targeted to buy and renovate or demolish foreclosed homes, Funds can also be used to offer downpayment and closing cost assistance to low- to moderate-income homebuyers.

Dodd-Frank Wall Street Reform and Consumer Protection Act includes a $1 billion Emergency Homeowners Loan Program to be administered by HUD. This loan program will provide up to 24 months in mortgage assistance to homeowners who are at risk of foreclosure and have experienced a substantial reduction in income due to involuntary unemployment, underemployment, or a medical condition.

 

$208,437,144 in funding was awarded to Florida communities struggling to reverse the effects of the foreclosure crisis:

Sarasota – $1,037,697 and Sarasota County – $3,949,541

Manatee County – $3,321,893

Collier County – $3,884,165

Hillsborough County – $8,083,062

Tampa – $4,691,857

 

Details of the programs included in this act will be available in the coming weeks as the programs are launched. Visit: RealEstateExpertsFlorida for updates about the coming programs.