PHOENIX – Arizona will receive $121 million early next year to combat the state’s growing foreclosure problem.
Most of the money must be spent to buy and fix up foreclosure homes and then help people purchase them.
Homes in the communities hardest hit by the downturn will be targeted and those areas include neighborhoods in Phoenix, Mesa, Avondale, Tolleson and Surprise.
The money, distributed by the U.S. Department of Housing and Urban Affairs, comes from the nation’s Housing and Economic Recovery Act, which Congress passed in July.
The funds are earmarked for stabilizing neighborhoods hurt by too many foreclosures.
The federal money will go toward the purchase of thousands of foreclosure homes, which means more work for real-estate agents, appraisers, title agents and lenders.
Many people who have struggled to get financing or down-payment money to buy a house will get help. The funds also will mean more jobs for contractors hired to fix up foreclosure homes.