The Neighborhood Stabilization Program (NSP), which built on Community Development Block Grant concepts, was part of a package of U.S. Dept. of Housing and Urban Development (HUD) programs adopted to deal with the consequences of the housing market collapse. NSP had three rounds of funding, all directed toward assisting communities as they addressed the neighborhood effects of the wave of foreclosures that followed the end of the housing boom. The principal concern was that the foreclosures had a contagion effect, depressing the value and maintenance of surrounding properties and intensifying the crisis at the neighborhood level. This analysis focused on the second round (NSP2). It found that NSP2 was too modestly funded to consistently arrest the declines in property values or achieve the impacts that were hoped for. Figures. This is a print on demand report.