Foreclosures | Stimulus
Using the first of its $19.1-million allotment from the federal government’s Neighborhood Stabilization Program, Hillsborough County has purchased a foreclosed handyman’s special in Tampa’s Clair-Mel neighborhood. Lanette Glass, foreclosure manager of the county’s affordable housing program, says the county hopes to eventually buy, renovate and resell up to 200 homes, about 10% of the 2,000 or more foreclosures the county expects this year. Other counties are getting money, too. The $3.9-billion Neighborhood Stabilization Program, which is part of the Housing and Economic Recovery Act of 2008, targets $541 million to buy foreclosed and abandoned properties in Florida.
Here’s a snapshot of Hillsborough’s first home purchase under the federal program:
» A potentially costly aspect of such renovations is tearing out illegal additions or enclosed carports, which could add up to $30,000 to the cost.
» The rehab will include energy-efficient features, including programmable thermostats, double-pane windows, R-30 attic insulation, compact fluorescent lighting, low-flow toilets, Energy Star-rated appliances, air-conditioning units and water heaters. Typically renovations of such homes run from $20,000 to $30,000.
» Buyers of neighborhood stabilization homes can’t earn more than 120% of the area’s median income. Buyers also have to attend eight hours of home buyer counseling.