WASHINGTON, D.C. – September 10, 2010 – (RealEstateRama) — Today, U.S. Senators Tom Carper and Ted Kaufman (both D-Del.) announced $5 million in funding to help reverse the effects of the foreclosure crisis in Delaware. The funding was made possible through the U.S. Housing and Urban Development’s (HUD) Neighborhood Stabilization Program and will provide targeted emergency assistance to state and local governments to acquire, redevelop or demolish foreclosed properties.
“Communities across Delaware, and across the nation, were hit hard by the foreclosure crisis,” said Senators Carper and Kaufman. “This HUD funding will help speed up the process of redeveloping and reselling foreclosed properties, nurturing our communities back to their former health. The Neighborhood Stabilization Program also helps prevent similar problems in the future by offering economic assistance and housing counseling for low income homebuyers. It’s programs like these that will ultimately help our state get back on track.”
The funding announced today is provided under the Dodd-Frank Wall Street Reform and Consumer Protection Act. To date, there have been two other rounds of NSP funding: the Housing and Economic Recovery Act of 2008 (HERA) provided $3.92 billion and the American Recovery and Reinvestment Act of 2009 (Recovery Act) appropriated an additional $2 billion. Like those earlier rounds of NSP grants, these targeted 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. Today, 95 cents of every dollar from the first round of NSP funding is obligated – and is in use by communities, buying up and renovating homes, and creating jobs.
Visit the HUD website for more information: http://portal.hud.gov/portal/page/portal/HUD/press/press_releases_media_advisories/2010/HUDNo.10-189