or low homeownership or a disproportionately high concentration of delinquent or foreclosed properties. Revitalization areas are used to identify properties eligible for disposition through discount sales programs.

HUD may designate an area as a revitalization area if it meets one of the following three criteria: 1. Very Low Income Area: The median household income for the area is less than 60 percent of the median household income for: * the metropolitan area; or, in the case of any area located within a metropolitan area, * the state in which the area is located, in the case of any area not located within a metropolitan area. To determine revitalization area designation eligibility under this criterion, the Department will adhere to the terms, definitions and data for Census 2000 published by the U.S. Bureau of the Census. 2. High Concentration of Eligible Assets: A high rate of default or foreclosure for single-family mortgages insured under the National Housing Act has resulted, or may result, in the area: * having a disproportionately high concentration of eligible assets in comparison with the concentration of such assets in surrounding areas; or * being detrimentally impacted by eligible assets in the vicinity of the area. 3. Low Homeownership Rate: The rate for homeownership of single-family homes in the area is substantially below the rate for homeownership in the metropolitan area or, in the case of any area not located within a metropolitan area, the state in which the area is located.