DETROIT (AP) - Banks are seeing something in Detroit that few once believed existed - opportunity.

DETROIT (AP) Banks are seeing something in Detroit that few once believed existed opportunity.

Loan and grant programs are being offered in some of the city's less fashionable neighborhoods, where the process of renovating salvageable houses and filling them with families is a necessary step if Detroit is to continue slowing a decades-long population dive.

Obstacles include the poor condition of the housing stock, appraisals far below the asking price, shaky personal credit in one of the country's poorest economies and a debt-ridden public school system badly in need of an overhaul.

Mayor Mike Duggan recently unveiled a $40 million mortgage initiative involving several banks and the Kresge Foundation that aims to help home buyers.

Detroit-based Quicken Loans also is pledging $5 million in grants to improve vacant houses for auction.