BUSH ADMINISTRATION ANNOUNCES MORE THAN $18 MILLION IN GRANTS TO PROMOTE HOMEOWNERSHIP AND HOUSING FOR LOW-INCOME FAMILIES
An estimated 430,000 individuals and families to benefit from housing counseling - Three Oregon agencies will receive more than $95,000

WASHINGTON - Nearly 430,000 individuals and families will be able to find housing or keep the homes they have because of more than $18 million in housing counseling grants announced today by Housing and Urban Development Secretary Mel Martinez. The grants were announced a day after President Bush hosted a Washington conference
that highlighted the importance of education and counseling when purchasing a home.

It's estimated these grants will assist more than a quarter million people to either become first-time homeowners or remain homeowners after their purchase. The grants were awarded to 12 national and regional organizations and 322 state and local housing counseling agencies, including three in the state of Oregon. These organizations will provide counseling services and will help meet the Bush Administration's goal of increasing minority homeownership by 5.5 million families by the end of the decade.

"These grants will go a long way to help more Americans either become or remain homeowners," said Martinez. "President Bush and I are committed to opening the doors to the American Dream to minority families who have long wanted a home to call their own."

President Bush is proposing to increase HUD's Housing Counseling grant program from $20 million to $35 million next year - a 75 percent increase. The organizations that provide counseling services help people become or remain homeowners or find rental housing. In addition, HUD-funded housing counseling agencies assist homeless persons to find the transitional housing they need to move toward a permanent place to live.

The 12 national and regional agencies distribute much of the HUD funding to community-based grassroots organizations that provide free advice and guidance to low- and moderate-income families seeking to improve their housing conditions. In addition, these larger organizations help improve the quality of housing counseling services
and enhance coordination among other counseling providers.

Who benefits from housing counseling?

Based on past experience, HUD anticipates the counseling grants announced today will enable approximately 160,000 would-be homeowners to learn how to improve their credit, strengthen money management skills and avoid predatory lenders and other unscrupulous practices. Another 100,000 existing homeowners will learn how to avoid delinquency and default, restructure debt and maintain their home. In addition, nearly 120,000 individuals and families who will receive HUD-funded counseling are renters. Counseling services will help them find housing closer to their jobs or health care as well as teach them about tenant rights. Finally, nearly 13,000 homeless individuals and families will learn how to find emergency services and secure transitional housing.

HUD awards annual grants under this program through a competitive process. Organizations that apply for grants
must be HUD-approved and are subject to biannual performance reviews to maintain their HUD-approved status.

HUD is the nation's housing agency committed to increasing homeownership, particularly among minorities, creating affordable housing opportunities for low-income Americans, supporting the homeless, elderly, people with disabilities and people living with AIDS. The Department also promotes economic and community development as well as
enforces the nation's fair housing laws. More information about HUD and its programs is available on the Internet and espanol.hud.gov.

State and Local Housing Counseling Grantees

Oregon

The Open Door Counseling Center serves the upper western part of Oregon and isolated parts of eastern Oregon. Their programs include pre-purchase counseling, homebuying educational workshops, homeless drop-in center, brown bag lunch discussion program for prospective homebuyers, mortgage default counseling, debt reduction workshops, reverse equity (HECM) counseling for seniors and assistance in finding and retaining rentals. Phone-in counseling sessions are also provided for seniors, especially those with disabilities and are unable to travel.

The Portland Housing Center provides housing services relating to home buying, home ownership and rental housing
for low and moderate-income households in the tri-county region. Services include: Pre-purchase counseling, Mortgage Default Counseling and Pre-Closing Counseling and a Home Buying Service. Portland has a 10.2% unemployment rate and provided default counseling to three times as many households as the previous year.

UMPQUA Community Action Network (UCAN) was founded in 1969 and has been a HUD-approved housing counseling agency since 1987. UCAN provides comprehensive housing counseling services to the counties of Douglas, Coos and Curry. Services include Pre-Occupancy, Homebuyer Education, Post-Purchase/Mortgage Default-Rent Delinquency, Post-Purchase/Post-Occupancy, Home Equity Conversion Mortgage (HECM), and Home Improvement/Rehabilitation counseling.