Obama Program Calls for $15B for Foreclosure Rehab

Obama Program Calls for $15B for Foreclosure Rehab.

The Wall Street Journal (9/13, Timiraos, 2.02M) reports that Obama's jobs plan not only calls for a refinancing proposal, but also would create a $15 billion fund to pay for rehabilitation of vacant homes and businesses. This funding would help revitalize the weak construction industry which has had high unemployment levels. HUD Secretary Shaun Donovan is quoted saying that this program known as "Project Rebuild" works by "attacking the overhang of properties." Donovan also says, "If you live next door to a house that is foreclosed or vacant, research shows that your house-even if you're current and making your monthly payment-your houses loses $10,000 on average. This is an opportunity to stabilize everyone's property values in those neighborhoods."