Big news for the housing world is coming out of the financial reform conference bill, which includes $1 billion in additional funding for the Neighborhood Stabilization Program (NSP). This “NSP 3” funding would go to local grantee organizations in the communities hit hardest by the foreclosure crisis, to shore up foreclosed and vacant properties, revamp them, and put them back on the market at an affordable price.
NSP first received $4 billion in funding from the 2008 Housing and Economic Recovery Act of 2008 (HERA), then an additional $2 billion from the American Recovery and Reinvestment Act of 2009. Bringing the total Federal investment in the program to $7 billion, this latest round of funding would be granted out by formula, similar to NSP 1 and unlike the competitive NSP 2 grants.
We’ll have more details once the full financial reform bill is available to the public in the next few days. Of course the sausage-making isn’t over yet – so advocates still have to keep our fingers crossed.