WASHINGTON (Reuters) – President-elect Barack Obama has vowed to help middle-class U.S. homeowners facing foreclosure, but he has said little about how he will help low-income families made homeless by a worsening economy.
Obama has spoken broadly about boosting affordable housing and restoring public housing subsidies. But with economists forecasting a deep recession in 2009, he may find it hard to find the money to fulfill those promises soon.
At the same time, advocacy groups and the country’s czar for combating homelessness say immediate action is needed to halt the foreclosures of tens of thousands of homes and rehouse thousands of families amid the worst financial crisis since the Great Depression of the 1930s.
“President-elect Obama understands the economy will only get back on track if we end the foreclosure crisis. And he realizes that part of ending the crisis is both preventing and ending homelessness for families losing their homes,” said Jeremy Rosen of the National Policy and Advocacy Council on Homelessness.