Refinancing Funds Made Available By Some States To Aid Troubled Subprime Borrowers

The Wall Street Journal reports:

• "Hoping to slow the quickening pace of home foreclosures, about a half-dozen states are setting up funds to help homeowners with high-risk subprime mortgages refinance to more-affordable loans. The states -- which include Maryland, Massachusetts, New Jersey, New York, Ohio and Pennsylvania -- are expected to invest a total of more than $500 million in the effort."

While state officials concede that it is not a large amount relative to the size of the problem, the hope is that these funds will be enough to keep some vulnerable low and moderate income neighborhoods from sliding into decline. For more, see States Aim to Stem Tide Of Home Foreclosures With Funds for Refinancing.