Nearly $20 million in federal money is destined for Maine to combat the negative effect the rising rate of home foreclosures has had on neighborhoods.

Of that amount, more than $2 million has been targeted to the Twin Cities area, a written release from the U.S. Department of Housing and Urban Development said.

The agency’s Neighborhood Stabilization Program is aimed at “acquiring and redeveloping foreclosed properties that might otherwise become sources of abandonment and blight,” according to the release.

The agency earmarked $1.4 million for Lewiston and about $922,000 for Auburn. The money will be used to buy foreclosed homes and resell them or redevelop the lots.

In Auburn, the money could leverage purchases of up to 10 homes, said Reine Mynahan, community development administrator in Auburn.

If a home is too dilapidated, it might be demolished and the lot reused for city needs or given to Habitat for Humanity for a new home, Mynahan said.

Existing homes worth saving would be bought and rehabbed, then sold to low-income families at affordable prices, she said. Mortgages would be handled through conventional lenders. That way, fewer banks would be stuck with vacant homes, neighborhoods would fill up with more taxpaying residents and lenders could get new clients.

Although the money comes from Washington, it flows through Augusta, where the respective state agency expects to turn over the money based on detailed plans submitted by the 15 Maine communities in line for the federal funds.

Lewiston and Auburn each sought $3 million. But Jim Andrews, director of the Department of Economic and Community Development in Lewiston, said he’s not disappointed by his city’s allotment.

“Overall, we’re happy with it,” he said. “Could we use $3 million? Yes. Are we unhappy with $1.4 million? No.”

Mynahan echoed Andrews’ sentiments.

In fact, part of the $3 million she asked for was aimed at paying for housing projects for disabled residents. She expects to get that money under a different program, she said.