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HUD Dollars Trickle Down to San Diego

The U.S. Department of Housing and Urban Development will grant the city of San Diego $9.4 million to help restore neighborhoods blighted by foreclosures. KPBS reporter Alison St John has more.

HUD Dollars Trickle Down to San Diego

The U.S. Department of Housing and Urban Development will grant the city of San Diego $9.4 million to help restore neighborhoods blighted by foreclosures. KPBS reporter Alison St John has more.

The money is San Diego’s share of a national Neighborhood Stabilization program.

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Rick Gentry, the new CEO of the San Diego Housing Commission, says, though San Diego got a bigger slice of the money than many cities, it wont be enough to help all the neighborhoods suffering from foreclosures. 

Gentry: Certainly not, but it’s a good first step and a good start

Gentry says the money must be spent in areas where half the residents make less than 120 % of the median income.  

The city will decide over the next couple of weeks how to use the money. Because home prices are so high here, $9 million wont go far.

For example, if the money is used to help families with a 20 percent down payment on a foreclosed home, it could help purchase only about 135 homes.

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There were just under 3,000 foreclosures county wide in San Diego last month.

Alison St John, KPBS News