The challenge
Rising home prices were putting homeownership out of reach for working families.
The case
Founded in Burlington, Vermont, in 1984 with support from the city under Mayor Bernie Sanders, the Champlain Housing Trust is the largest community land trust in the US. The trust owns the land under its homes. Buyers purchase the house at a reduced price and, when they sell, keep a share of the gain while the rest stays with the home to keep it affordable for the next buyer. It now stewards more than 3,000 homes, including shared-equity homes and rentals, and its owners have had very low foreclosure rates.
Why it worked
Locking public subsidy into the home, rather than giving it once to one buyer, keeps housing affordable for decades. Growth depends on steady public and philanthropic funding.
Sources
- Davis, J. E., & Stokes, A. (2009). Lands in Trust, Homes That Last: A Performance Evaluation of the Champlain Housing Trust. Champlain Housing Trust.
- Champlain Housing Trust (website).
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