Southeastern Connecticut Community Land Trust - Permanently Affordable Homeownership

What is Southeastern Connecticut Community Land Trust - Permanently Affordable Homeownership?

Southeastern Connecticut Community Land Trust - Permanently Affordable Homeownership is a shared-appreciation loan for homebuyers in New London, Connecticut, administered by Southeastern Connecticut Community Land Trust (SE CT CLT).

• SE CT CLT is a membership-based 501(c)(3) community land trust that holds land in trust to create and steward permanently affordable homeownership in Southeastern Connecticut. By separating the cost of the land from the home, the CLT sells homes at a below-market price to income-qualifying buyers, who lease the underlying land long-term. A resale formula keeps the home affordable for future buyers.
• Below-market purchase price (buyer pays for the home, not the land).
• Lower monthly costs.
• Permanently affordable, resale-restricted homeownership.
• Protection against displacement.
• Funding comes from 501(c)(3) nonprofit community land trust supported by community gifts, partner organizations, and membership.

Do you have to pay it back?

Southeastern Connecticut Community Land Trust - Permanently Affordable Homeownership is a shared-appreciation loan and is repaid under the terms set by Southeastern Connecticut Community Land Trust (SE CT CLT).

• Repayment is triggered by Resale-restricted ground lease: a resale formula caps the price/appreciation the homeowner may realize at sale to keep the home affordable to the next income-qualifying buyer.
• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Southeastern Connecticut Community Land Trust - Permanently Affordable Homeownership is open to buyers who will live in the home as their primary residence.

What are the income limits?

Southeastern Connecticut Community Land Trust - Permanently Affordable Homeownership sets its income limit as follows: Homes are sold to income-qualifying (low- to moderate-income) buyers; specific AMI thresholds not published on the official site. CLT membership is required to be eligible to purchase.

• Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

What kind of home can it be used for?

Southeastern Connecticut Community Land Trust - Permanently Affordable Homeownership caps the purchase price as follows: Home priced below market because the buyer purchases only the home, not the land (land is leased from the CLT); exact prices not published.

• Eligible property types include Single Family and 2-4 Unit.

Where does it apply?

Southeastern Connecticut Community Land Trust - Permanently Affordable Homeownership serves buyers purchasing in New London, Connecticut.

How do you apply?

Applications for Southeastern Connecticut Community Land Trust - Permanently Affordable Homeownership go through Southeastern Connecticut Community Land Trust (SE CT CLT), which publishes the current terms and the application steps on its own site.

1. 1

   Contact Southeastern Connecticut Community Land Trust (SE CT CLT) to reserve funds

   Funds are reserved with the provider and are subject to availability.

2. 2

   Work with a lender who handles the program

   Hey Prescott is not a lender and does not accept applications; this page describes the program so a buyer can take it to a lender or housing counselor.