New Jersey real estate has fared pretty well in comparison to many areas across the country over the last couple of years.  That is not to say that we haven’t seen a certain degree of decline and foreclosures.  The state as a whole has a foreclosure rate of about 4%, but in some areas the rate is considerably higher.

The U.S. Department of Housing and Urban development is providing the State with$51.5 million in grants to acquire and redevelop foreclosed properties. “HUD Secretary Steve Preston announced a $3.9 billion national program Friday to help all states and some of the hardest-hit localities prevent properties from being abandoned and to reduce urban blight. HUD plans to hold a national summit next month and regional events to explain the details of the so-called National Stabilization Program.”

“With a foreclosure rate of 4 percent, New Jersey is at low risk for property abandonment, HUD figures show. But certain North Jersey localities are especially vulnerable. For instance, Paterson and Newark each have foreclosure rates in excess of 10 percent.”  This will be especially helpful in areas with higher foreclosure and vacancy rates.  The more homes left vacant and uncared for, the lower the value of the remaining properties.  Vacancy and neglect can eat away at a neighborhood like a cancer.  When home owners are struggling to pay for just the basic necessities finding the money and the motivation to keep up on home maintenance can be very difficult.  It can be made much harder if the foreclosed property next door has fallen into disrepair. 

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