Nehemiah Corporation of America Comments on Successful Summary Judgment Decision in Lawsuit Against HUD

SACRAMENTO, Calif., March 3 /PRNewswire-USNewswire/ -- The following statement is in response to the decision by the United States District Court for the Eastern District of California to rule against the U.S. Department of Housing and Urban Development (HUD) rule to ban private downpayment assistance as proposed in the "Standards for Mortgagor's Investment in Mortgaged Property" regulation published October 1, 2007.

"We are thrilled with the Court's decision to support low-to-moderate income families across the country by ruling against HUD's attempt to ban private downpayment assistance. This is a major and conclusive judgment, leaving no uncertainty that downpayment assistance is a life line to the families that Nehemiah serves. It is heartening to see that the Court's arguments echo our sentiments and concerns. This decision preserves access and supports the use of sensible and reasonable approaches to homeownership for millions of working class families. The Nehemiah Program has granted more than $1 billion in gifts in the past decade, helping more than 250,000 American families achieve the American dream. It is a privilege to continue providing a helping hand to America's underserved families by building both safer communities and financial strength through homeownership. As we have said before, we look forward to working with HUD to support deserving families across the country."

- Scott Syphax, President and CEO of Nehemiah Corporation of America, the largest and oldest private downpayment assistance provider.

To date, privately-funded downpayment assistance programs have helped over 600,000 families become homeowners, and have been credited not only for helping people buy homes, but also stabilizing neighborhoods and cities and creating stronger families.