Tuesday, Sep 20 2011 3:55PM

The National Association of Home Builders (NAHB) is hoping the Obama administration and Congress show a balanced outlook for the middle and lower classes of America with its proposed plan to offload foreclosed homes.

NAHB requested that Congress show leniency toward lower-income residents while transferring foreclosed homes from Fannie Mae, Freddie Mac and the Federal Housing Administration.

Congress' current approach to reducing the federal government's foreclosure inventory includes offering tax incentives to investors who offer transform the homes into affordable rentals.

NAHB chairman Bob Nielsen suggests that small and local businesses in support of the communities that may be affected by the plan should be the primary focus during the sale of the real estate-owned properties. The firm suggests this strategy would create jobs and offer stabilization.

"Local and small businesses that have a stake in the future of the affected communities should be the driving force behind the disposition of the REO inventory," said Nielsen. "This will result in the creation of jobs and the stabilization of neighborhoods."

Many home buyers don't have enough credit to invest in a home, even though the real estate market offers the lowest mortgage rates in history, according to Nielsen. Therefore, he stated the current high rates should be more reasonably adjusted to help low-income consumers afford homes for sale.