The U.S. Department of Housing and Urban Development (HUD) recently announced that it is doling out in excess of $600,000 to 16 organizations in Michigan for the express purpose of housing more families and preventing foreclosures.1
For example, the Northwest Michigan Community Action Agency, located in Traverse City, was awarded $30,380 to spend for housing purposes. This money will be used to help families become responsible homeowners as well as to remain homeowners after purchasing their home.
This is especially important considering the high foreclosure rates not just in Michigan but around the United States as well.
That’s not all. The HUD is also indirectly helping families with their housing needs by supplying a whopping $29 million to other agencies that have a definite impact on Michigan communities. These agencies include national, regional and multi-state counseling agencies that assist those in Michigan overcome their housing woes.
“The HUD-approved counseling agencies this funding supports are crucial in helping struggling families on a one-to-one basis to manage their money, navigate the homebuying process, and secure their financial futures,” says HUD secretary Shaun Donovan. Donovan adds that HUD pressed Congress to restore funding; thereby allowing HUD to make more resources available to those that need them the most.
Grant recipients are thus helped to realistically evaluate their financial readiness for homeownership, to better understand their financing options and to navigate the complex process of homeownership.
A crash course on predatory lending and mortgage scams will also better protect grant recipients, while foreclosure prevention counseling gives troubled homeowners a clearer shot at keeping their home instead of putting it up for foreclosure. The agencies even help homeless people find transitional housing before guiding them to permanent homeownership.
The effects of the recession can still be felt to this day, especially when it comes to foreclosures, so it is efforts like this that make all the difference – especially for single moms that have trouble keeping things in check.