House OKs $15B to buy and fix up foreclosed properties

By JULIE HIRSCHFELD DAVIS Associated Press Writer

WASHINGTON (AP) - The House has approved sending states $15 billion to buy and fix up foreclosed properties. The vote Thursday was 239-188 to approve the bill, which most Republicans opposed. It would provide loans and grants to areas hit hardest by the housing crisis.

Supporters say the legislation will prevent neighborhoods around foreclosed homes from sliding into blight.

The measure is separate from a broader housing package to provide $300 billion in refinanced mortgages for struggling homeowners. The House was expected to vote on that bill later Thursday.

President Bush has threatened to veto both measures. He says Democrats' housing proposals reward lenders and speculators instead of helping homeowners.