Has Your Community Been Devastated by the Housing Crisis?

The Neighborhood Stabilization Program Helps Communities in Need

Homes that have been foreclosed and left unoccupied can lead to steep declines in neighboring house values, increased crime and significant disinvestment for an entire area. To ensure that communities can mitigate these harmful effects of foreclosures, the Housing and Economic Recovery Act of 2008 appropriates $3.92 billion to be used as grants under the Neighborhood Stabilization Program (NSP).

States and local governments who receive grant funds under the NSP may use the grants to purchase and redevelop foreclosed properties that might otherwise become abandoned. The funds may be used to: purchase foreclosed homes at discounted prices; purchase land or property; pay demolishing fees; pay rehabilitation fees for abandoned properties; and provide down-payment and closing cost assistance to low- to moderate- income homebuyers.

The State of Florida has been allocated $541 million for the NSP, which includes more than $91 million awarded to the Department of Community Affairs, under the state's Community Development Block Grant program, and approximately $450 million directly allocated to 48 local governments. For a complete breakdown of Florida's funds, please go to the U.S. Department of Housing and Urban Development's Web site atwww.hud.gov.

Other helpful links include the Florida Department of Community Affairs Florida Community Development and the Florida League of Cities.