Funds to Restore Stockton Foreclosure Homes and Other Areas in CA

by Donald Hanz on cities

The state of California has been provided with over $149 million by the U.S. federal government through its Neighborhood Stabilization Program (NSP). The money will reportedly be used to purchase and rehabilitate foreclosed residential properties, including Stockton foreclosure homes.

According to local state officials, foreclosure properties, including those under Suntrust foreclosure listings, that have contributed to blight in certain neighborhoods, will be the primary target of the buy-renovate efforts. Latest reports reveal that the San Joaquin Valley area alone will be getting a share of $19.8 million.

In distributing the funds from the third round of NSP funding, areas in the state hardest hit by huge numbers of California home foreclosures will be prioritized, and one of these areas is Stanislaus County which will get over $4 million.

Development officials from the county have stated that the money will go a long way towards helping reduce the number of home foreclosures for sale in the area and will also encourage residential property ownership, with both factors expected to contribute to the stability of the community.

One of the local communities that will benefit from the funds is Patterson. According to reports, Patterson will receive $488,000 from the Stanislaus allocation. So far, the city has received a total of $1.6 million from the NSP initiative. The area is one of the local communities suffering from the impact of foreclosures, including Stockton foreclosure homes.

So far, Patterson has purchased nine houses and renovated seven. Two of the properties are being operated by the local Housing Authority as rental homes, while one residence has been sold under the First Time Homebuyers Program. Another dwelling is reportedly under escrow. Local officials have also revealed that the city still has over $651,000 deposited in the bank that can be spent on the housing development program.

Realtors from Patterson have stated that the funds, if used wisely, will greatly help blighted communities in the city. Some even suggested that local housing authorities focus on older areas when they look for foreclosed homes to purchase. Patterson is one of the fastest growing areas in the state, according to realtors, and the funds will be needed in the city. Along with Merced and Stockton foreclosure homes, Patterson's foreclosure rate is probably one of the more serious levels in the region.