lets look at the clt model

  The Community Land Trust model is a lasting affordability housing model that utilizes an initial one-time investment to significantly lower the purchase price of the home. 

Then through a ground lease and deed restriction it limits the sale price making the home affordable for each subsequent, income-qualified buyer in perpetuity.   

  The Smoketown Community Land Trust works like this:

· A family or individual purchases a house that sits on land owned by the community land trust.

· The purchase price is more affordable because the homeowner is only buying the house, not the land.

· The homeowners lease the land from the community land trust in a long-term (99-year), renewable lease.

· The homeowners agree to sell the home at a restricted price to keep it affordable in perpetuity, if they ever decide to sell. 

  The SmoketownCLT is a nonprofit run by a 15-person board, staff and community members. In the future the SmoketownCLT will have a membership made up of those who purchase SmoketownCLT homes.  The SmoketownCLT will balance the interest of its residents, the broader community, and the public interest to promote wealth building, retention of public resources, and solutions for community needs.

 Homeowners in a CLT build equity in their homes, like traditional homeownership, even with resale restrictions. Homeowners will receive a 2% shared equity based off the initial purchase price of the home and may be able to realize appreciation from improvements they make while they live in the house.