Federal legislation enacted in 2008 to prevent homeowners from losing their homes to foreclosure as a result of a downturn in the housing market. The act was passed by Congress on July 26, 2008 and included such provisions as tax credits for first-time home buyers, tax credits for low income households, pre-foreclosure counseling, and mortgage rate bonds. The bill also provided $4 billion to state and local governments for the rehabilitation and resale of abandoned and foreclosed homes.