The Western Nevada Home Consortium awarded $200,000 to the Sierra Nevada Community Land Trust to provide subsidies to assist low and moderate income households to acquire single family residences.
An additional grant of $5,000 for administrative expenses was also awarded.
"We are very excited about this award. It's the first step in giving back to our community by making workforce housing affordable for those who work and serve in our community," said Gary Williams, president of the land trust.
"We are looking forward to working with all those individuals in our community who need assistance in realizing homeownership," he said.
Sierra Nevada Community Land Trust is a nonprofit organization that seeks to provide permanent, long-term affordable housing for low-to-moderate income employed persons within the community.
The trust plans to achieve this goal by securing property, rehabilitating it as necessary, and offering it for sale at below-market prices to income-qualified individuals through the use of a long-term renewable ground lease whereby the home buyer purchases only the home and the trust maintains ownership of the land in perpetuity.
When homebuyers sell their homes, they do so under the ground lease clause that requires them to sell only to other income-qualified individuals and with a limit on the appreciated value of the home.
By limiting the amount of appreciation that may be added to the home's selling price, the land trust ensures a continuously renewable stock of affordable housing.
"The community land trust model will enable a home buyer the opportunity to purchase a house at a price substantially less than the current market value, by subsidizing the purchase price in order for the applicant to qualify for a mortgage," said Anje deKnijf, executive director of the trust.
"In return for the subsidy, the land trust will retain ownership of the land and, with the provisions of the resale agreement, will keep the home affordable for future qualified buyers," she said.
For more information about Sierra Nevada Community Land Trust, visit www.snclt.org or contact deKnijf at 783-2555.
