The Obama administration said on Thursday it would tap Treasury funds to bolster the construction of affordable rental housing and extend the life of a program aimed at helping homeowners avoid foreclosure.
The announcement by Treasury Secretary Jacob Lew was timed to coincide with the fifth anniversary of the Making Home Affordable program, an Obama administration initiative launched at the height of the economic crisis in 2009 to revitalize the housing sector and curb runaway foreclosures.
He said the program would be extended through December 2016.
“We need to continue to be there for homeowners who are facing foreclosure, those who are struggling with increasing interest rates on their modified mortgages, and those whose homes are caught underwater,” Lew said at an event to mark the program’s anniversary.
According to Treasury Department, more than 1.3 million homeowners have modified their mortgages under the program, reducing monthly payments by about $540 a month.
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