Third Estate partners with homeownership oriented nonprofits because homeownership is the most efficient way to close the wealth gap under our current tax code.
Our unique value add is that we offer low-income members of affiliated Community Land Trusts (“CLTs”) specialized, below market rate, fixed-rate mortgages and home equity lines of credit. We offer this benefit to members of affiliated CLTs specifically because CLTs keep homes affordable in perpetuity.
Please note that, as in all CLTs, the homeowner owns the home, but leases the land underneath it with some restrictions. While the home may still be sold or passed down as inheritance, (1) building improvements, subleasing, and absentee ownership are limited; (2) Third Estate has the right of first refusal at sale or foreclosure; (3) the property’s resale value is capped; (4) an annual lease fee is imposed; and (5) the sale of the home is restricted to income qualifying individuals. Leases for non-single-family developments may have additional limitations.