Community Land Trusts Offer Relief From High Housing Costs

The nonprofit model is becoming more popular as communities seek ways to reduce housing costs.

2 minute read

September 26, 2024, 6:00 AM PDT

By Diana Ionescu @aworkoffiction


Small house with a red tire swing in front yard in Houston, Texas.

Conchi Martinez / Adobe Stock

With housing costs spiraling out of control for many U.S. households, community land trusts and shared equity homeownership programs are growing in popularity, with over 300 land trusts nationwide.

In a piece for Route Fifty, Molly Bolan explains the model. “Land trusts are nonprofits that through a shared equity program purchase properties and then sell or rent the single-family homes, multifamily buildings or commercial spaces built on them. The trust retains ownership of the land the house sits on.” Unlike more predatory models (see investor-owned mobile home parks), land trusts enter a long-term (often 99-year) lease, which can be transferred to new owners should the first homeowners decide to sell.

“Nationwide, nearly 88% of people who own their homes through a shared equity program are first-time buyers, according to Grounded Solutions Network. The model offers social benefits too, like mitigating gentrification and reducing racial gaps in homeownership.” In Texas, the Florida Keys, and Lahaina, community land trusts are being used as a way to preserve affordable housing for residents in the wake of natural disasters.

Because scaling the land trust model can be costly, James Yelen, director of technical assistance for Grounded Solutions Network, warns that the suggests that cities should dedicate funding to supporting the model, pointing to examples in Oakland and Chicago. “Beyond dedicated funding, state and local governments can update laws to ensure community land trusts are eligible for affordable housing funding from programs like the federal Community Development Block Grant.” States, counties, and cities could also exempt community land trusts from property taxes to reduce their costs.

Tuesday, September 24, 2024 in Route Fifty

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Cover CM Credits, Earn Certificates, Push Your Career Forward

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

July 16, 2025 - Diana Ionescu

Green vintage Chicago streetcar from the 1940s parked at the Illinois Railroad Museum in 1988.

Chicago’s Ghost Rails

Just beneath the surface of the modern city lie the remnants of its expansive early 20th-century streetcar system.

July 13, 2025 - WTTV

Blue and silver Amtrak train with vibrant green and yellow foliage in background.

Amtrak Cutting Jobs, Funding to High-Speed Rail

The agency plans to cut 10 percent of its workforce and has confirmed it will not fund new high-speed rail projects.

July 14, 2025 - Smart Cities Dive

Worker in yellow safety vest and hard hat looks up at servers in data center.

Ohio Forces Data Centers to Prepay for Power

Utilities are calling on states to hold data center operators responsible for new energy demands to prevent leaving consumers on the hook for their bills.

July 18 - Inside Climate News

Former MARTA CEO Collie Greenwood standing in front of MARTA HQ with blurred MARTA sign visible in background.

MARTA CEO Steps Down Amid Citizenship Concerns

MARTA’s board announced Thursday that its chief, who is from Canada, is resigning due to questions about his immigration status.

July 18 - WABE

Rendering of proposed protected bikeway in Santa Clara, California.

Silicon Valley ‘Bike Superhighway’ Awarded $14M State Grant

A Caltrans grant brings the 10-mile Central Bikeway project connecting Santa Clara and East San Jose closer to fruition.

July 17 - San José Spotlight