Neighborhood Stabilization Program Update

In November 2008, the Macomb County Board of Commissioners approved a $9.8 million plan to help reverse the negative impact of foreclosure for 21 non-entitlement communities in Macomb County.  Launched by the U.S. Department of Housing and Urban Development (HUD), the Neighborhood Stabilization Program (NSP) is designed to reverse the adverse affect that foreclosed properties present to communities.  NSP assists eligible home buyers to purchase and occupy these homes.

Macomb County was required to submit a work plan to HUD which was subsequently received final approval in February 2009.  In Macomb, the program provides qualified families with down payment assistance and to make necessary repairs to the property with forgivable loans.  Due to the concentration of foreclosures in certain communities, the county is focusing on homes in Eastpointe, Mt. Clemens and Center Line.  (The cities of Warren, St. Clair Shores, Roseville, Sterling Heights and Clinton Township have their own NSP programs in place.)

After HUD approval, several steps were necessary before making the project open to the public.  For instance, in order to purchase a foreclosed home within the program, the property must be independently appraised and then inspected to meet HUD standards of “safe, sanitary and decent.”  If repairs are needed – and they often are – a plan to bring the properties up to code must be developed. 

Since the launch of the program was approved, more than 300 applications have been received from interested would-be homeowners.  Department staff are working with realtors and lenders to make the process as smooth as possible. 

The first home purchased using program funds closed in early August and more are expected throughout the rest of the year.   

For more information about the program please visit www.macombcountymi.gov/MCPED or call 586-469-6284