Final answer:
The term for the action of a tenant reclaiming their foreclosed property by paying off debts is termed 'redemption.' The government has attempted to ease the impact of foreclosures through initiatives like the American Restoration and Recovery Act, which provided tax credits for homebuyers.
Step-by-step explanation:
In the context of foreclosure on the property a tenant redeems, the term for this action is redemption. Redemption occurs when a tenant has the opportunity to reclaim their foreclosed property by paying off their outstanding debts before the property is sold. This is part of the foreclosure process where the original owner or tenant has the right to recover the property after paying the full amount owed, including any additional charges. The U.S. government has undertaken several initiatives to mitigate the hardships of home foreclosure. Programs like the American Restoration and Recovery Act are examples of such measures, providing support through tax credits for homebuyers, and other forms of financial aid to those affected by foreclosures and the financial market crisis.