Port St Lucie 3.5 Million in Federal Aid for Foreclosures

Port St Lucie gets a some relief as news is released today to help the foreclosure market.

The Treasure Coast received more than $8 million in federal aid Wednesday to help neighborhoods hit hard by foreclosure.

The money is part of $1 billion allocated nationally by the U.S. Department of Housing and Urban Development, of which $208.4 million is for Florida.

This is the federal government’s third round of Neighborhood Stabilization funding. As with prior rounds, each government must decide if it will accept the money.

For Port St. Lucie, the $3.5 million announced Wednesday brings to $17 million the amount the city has received, the most of any Treasure Coast government.

“We’ve expended at this point almost $12 million, so this money couldn’t have come at a better time,”

said Tricia Swift-Pollard, community services director for Port St. Lucie. The city used the prior grant to purchase 140 homes and completed restoration of 48. “We have to sell some in order to continue the rehab,” Swift-Pollard said.

Don Cole, Martin County housing program manager, said the money would be expected to go towards the continued purchase and resale of foreclosed homes.

“We’re considering using it in the same model we did before with the rehab, purchase and resale,” Cole said.

The program had previously allowed the county to purchase five homes and the additional money could save 10 to 15 homes, Cole said.

Robin Miller, program director with the Indian River County Housing Authority, said the county will have to determine which criteria the federal government has set. “I know the criteria we’re under right now is we purchase foreclosed homes, we refurbish them and then we’ll be selling them,” Miller said.

Indian River County, which has used part of the $4.1 million it had previously received to acquire 16 foreclosed properties, also shares the money with the Treasure Coast Homeless Services Council, Miller said.

According to HUD, the money can be used to buy land and property, demolish or rehabilitate abandoned properties, and offer assistance to low- to moderate-income home buyers. In distributing the money, the Obama Administration looked at the number and percent of home foreclosures, percent of homes with sub prime mortgages, and the number and percent of homes with late loan payments.

The program began in July 2008, when former President George W. Bush authorized a $3.92 billion grant for states and local governments to buy and maintain homes being foreclosed.

Thanks to The Palm Beach Post