Community land trusts (CLTs) began in the US back in the 1960s.  At their core, CLTs remove the cost of land ownership when it becomes a barrier to homeownership. Instead of homeowners owning the land, the community owns it.

The LEAP Housing Trust, a Community Land Trust owns the land at Caritas Commons. Homeowners own their homes and the land is owned by the Trust in order to guarantee "perpetual affordability" even when someone sells. When you purchase the home you will also agree to the ground lease. The ground lease agrees to dual ownership of the property. The individual owns the home and the leasehold interest in the land while the LEAP Housing Trust owns the land.

A: A Community Land Trust (or Shared Equity) provides greater likelihood of attaining and sustaining homeownership as well as builds wealth among a working family with modest means seeking affordable housing. It ensures public investments go further and do more while building strong, safer and higher-quality neighborhoods. Lastly, shared equity contributes to greater educational and job attainment. 

To find out more about Shared Equity: https://groundedsolutions.org/strengthening-neighborhoods/shared-equity-homeownership

LEAP Housing is the landlord and monitors homeowner compliance with the covenants, conditions and regulations (CC&Rs) signed at closing. Non-compliance with CC&Rs may result in disciplinary action outlined in the CC&Rs, which can include fines, special assessments, etc.

Technically, LEAP implements what are called conditions, covenants and regulations - or CC&Rs for short. These rules are discussed with potential homeowners before, during and after they sign on their documents. The Trust has the authority to enforce the rules of the CC&Rs that govern its land.

The design of a community land trust is to ensure affordability for current and future residents who require an affordable homeownership opportunity. So, the answer is no. You may not buy this property to rent to others; it is stipulated as an owner-occupied arrangement in your agreement to live in a home on land held in trust.

Yes! You can make your property as great as you want. We encourage personalization and customization; however, all major improvements must meet the CC&R requirements and must be approved by LEAP in writing.

Anyone who builds on land held in trust by the LEAP Housing Trust owns their home, but they do not own the land. Instead, homeowners share the value of their land with current and future generations. This drives down the cost of homeownership and benefits the homeowner by not paying taxes on the land.. 

The ground lease is signed at closing with normal documents involved in a home purchase. The ground lease works with a deed restriction to ensure current and future buyers are income qualified. Because CLT homeowners do not own the land, they must rent the land for a modest fee usually between $30 and $50 per month.

Assessment fees are monthly fees charged to homeowners in a CLT to cover the costs of managing and maintaining the land held in trust. Examples of potential costs might include the cost of landscaping, irrigation pumps, pavement, etc. Each subdivision has its own needs.

Your ground lease and deed restriction - recorded when you buy - dictates how much equity you may get at closing. Generally speaking, your equity is limited to be on par with the cost of living increase in your area PLUS any capital improvements you have made.