Washington, D.C. – September 21, 2010 – (RealEstateRama) — Today, Congressman Al Green (TX-09) announced that the City of Houston and Harris County have been awarded significant funding as part of the Neighborhood Stabilization Program (NSP), which is coordinated by the Department of Housing and Urban Development (HUD).
The City of Houston has been awarded grants totaling $3,389,035 and Harris County will receive $1,925,917. These grants are provided under the Wall Street Reform and Consumer Protection Act, in whose legislative crafting Congressman Al Green played a decisive role, as member of the House of Representatives’ Committee on Financial Services.
“This is a very useful initiative for our community because the City and the County will be able to use these funds to purchase foreclosed homes to rehabilitate or redevelop them to respond to rising foreclosures and falling home values. In some cases they can also demolish the property,” stated Congressman Green.
According to the real estate consulting company RealtyTrac, during the month of July, Harris County had 2,559 properties foreclosed, including 1,510 located in Houston.
The Neighborhood Stabilization Program (NSP) also seeks to prevent future foreclosures by requiring housing counseling for families receiving homebuyer assistance. HUD will require States, as well as local grantees to ensure that new homebuyers under NSP receive homeownership counseling and obtain a mortgage loan from a lender who agrees to comply with sound lending practices.
“Counseling and ensuring sound lending practices are important components of the Neighborhood Stabilization Program because they will help prevent the predatory lending practices that targeted significant segments of our society” concluded Congressman Green.