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Last week, the Senate passed the 21st Century ROAD to Housing Act, a bipartisan bill aimed at addressing the growing shortage of affordable housing across the country. The legislation makes several changes that help create and keep homes affordable over the long term.

One important part of the bill updates the definition of Community Land Trusts (CLTs). CLTs, like Community Home Trust, are nonprofit organizations that make homes affordable by separating ownership of the land from the home itself. The current federal definition has been too narrow and has unintentionally left out some newer CLTs that are just getting started. The updated definition better reflects how these organizations grow and develop, which could make it easier for new CLTs to form and expand access to affordable homeownership.

The bill also clarifies how CLTs fit into the HOME Investment Partnerships Program (HOME), one of the federal government’s main affordable housing programs. This helps local governments, lenders, and housing organizations better understand how CLTs can use federal housing funds.

Another change in the bill recognizes shared equity homeownership as a supported option within the HOME program. In shared equity models, homes stay affordable for future buyers while still allowing homeowners to build some wealth. This helps keep housing affordable for many families over time, not just one.

Finally, the legislation lets communities that receive HOME funding give CLTs a preemptive purchase option, or the first chance to buy a home when it goes up for sale, helping it remain affordable.

Together, these changes strengthen tools that communities can use to create and protect long-term affordable housing. As housing costs continue to rise in many places, policies like these can help more families find stable, affordable homes and stay in the places they love.

For Community Home Trust, these changes could help us expand local affordable housing opportunities by increasing access to federal funding, strengthening partnerships with lenders, and opening new paths to acquire and protect properties.

We’re grateful to our community members, partners, and supporters who continue to champion policies and programs that make our work possible. Your support helps ensure that legislation like this moves forward to strengthen affordable housing options for generations to come.

With gratitude,

Kimberly Sanchez, President and CEO

​​P.S. I’m excited to begin my service on the Grounded Solutions Network Board of Directors. I’ll be in Washington, DC next week meeting with fellow board members and exploring additional ways to advance affordable housing and community land trusts. If you want to learn more about CLTs and shared equity homeownership, the Grounded Solutions website is a great resource!