HOW DOES A CLT WORK?

By keeping housing permanently affordable, a community land trust helps reduce the displacement that occurs when property values are climbing.

The trust acquires the land and maintains ownership of it permanently, with prospective homeowners entering into long-term renewable leases of the land.
In return, the homeowner agrees to sell the home at resale-restricted and affordable pricing to another lower income homebuyer in the future.

When the homeowner decides to sell, ALT uses two different resale formulas:
-25% of the appreciated value of the home, or
-Equity determined by average income growth