we already live in this world, and you haven't even noticed:
NYC Build it Back program: http://www.nyc.gov/html/recovery/html/home/home.shtml
"Rep. Michael Grimm wants federal government to earmark $600 million for NYC 'Build it Back' program": http://www.silive.com/news/index.ssf/2013/11/rep_michael_gri...
New York Assisted Home Performance Grants: http://www.dsireusa.org/incentives/incentive.cfm?Incentive_C...
low interest housing renovation loans from NYC: http://www1.nyc.gov/nyc-resources/service/1869/housing-renov...
e.g. just in new york there's plenty of publicly (or in the case of assisted home performance, ratepayer funded, e.g. a tax on energy bills) funded housing renovation programs.