Neighborhood Stabilization Program 2

The Neighborhood Stabilization Program II (NSP 2) was created as part of the American Recovery and Reinvestment Act (ARRA) of 2009. The Delaware State Housing Authority was awarded $10,007,109 in NSP 2 funding through the U.S. Department of Housing and Urban Development. DSHA then allocated the funding to four different jurisdictions. Sussex County received $939,204.

The primary goal of Sussex County's NSP 2 is to continue working to stabilize neighborhoods and communities that have been negatively affected by the consequences of foreclosure.

NSP 2 funding will allow the County to access the eastern side of the County, which is an area typically unaffordable to citizens of low and moderate income. The County will continue to use the same models as created in NSP 1 in relation to its Homebuyer Assistance Program and non-profit partners.

Sussex County is targeting five census tracts: 509 (Milton/Lewes area), 510.01 (Lewes/Rehoboth), 511 (Rehoboth/Dewey Beach), 507.02 (Millsboro/Long Neck area), and 501.02 (Lincoln/Milford area). It is imperative that all foreclosed properties purchased with NSP 2 funds be located within the above listed census tracts. For assistance with determining if a particular parcel qualifies, you are encouraged to contact the Department of Community Development & Housing. All interested homebuyers must attend at least 8 hours of HUD-approved homeownership counseling and must occupy the NSP 2 home as their primary residence. The contact information for the two HUD-approved counseling agencies in Sussex County, NCALL and First State Community Action, is listed under "NSP 2 Partners". Applicants are approved based on household income, which must be below 120% of the Area Median Income for Sussex County.

The County is partnering with two local non-profit housing developers to help spread the funding efficiently to those most in need. Those organizations are Milford Housing Development Corporation and Sussex County Habitat for Humanity. Each agency has its own model for utilizing the NSP 2 funds, including the County. For more information, please see the organizations' contact information under "NSP 2 Partners".