FREQUENTLY ASKED QUESTIONS
New Moderate-Income Home at
961 Tallac Avenue, South Lake Tahoe, CA
Who is Saint Joseph Community Land Trust?
Saint Joseph CLT is a democratically controlled nonprofit organization whose
mission is to improve quality of life for Lake Tahoe residents by providing
quality affordable and moderate-income housing. Saint Joseph CLT is one of
approximately 200 community land trusts operating independently across the
country in response to high housing costs and other housing challenges affecting
low and moderate-income households. There are more than 5000 community land
trust homes in the United States.
Who can purchase this home?
Prospective buyers must meet certain eligibility requirements. For example,
they must be full-time Lake Tahoe residents and must have resided in the Lake
Tahoe Basin at least ten-months prior to the home-purchase application date. In
addition, a buyer’s total household income cannot exceed moderate-income limits
and buyers cannot have owned a home in the last three years. Buyers must also
have a household size of at least three persons and must be able to obtain
financing for the purchase of the home. Some applicants may be eligible for “gap
financing” through the City of South Lake Tahoe’s Moderate Income Homebuyer loan
program. Additional information, including financing information and an
application to purchase this home, is available from Saint Joseph Community Land
Trust.
How is Saint Joseph CLT able to sell this new home at such a reasonable
price?
This home is being sold separately from the underlying land so homebuyers will
not pay land costs. Saint Joseph CLT will continue to own the underlying land
after the home has been sold. While buyers will not own land, they will be given
rights to use the land. These rights are contained in a 99-year ground lease.
Full ownership of the home provides permanence and allows owners to build equity
in their property, a benefit unavailable to renters. The land beneath this
dwelling was donated by the South Tahoe Redevelopment Agency for construction of
a moderate-income home.
How much will the ground lease cost? Can the term of the ground lease be
extended?
The ground lease fee has been set by the Community Land Trust Membership at $50
per month. The expiration date for the lease may be renegotiated in the future,
but it cannot exceed 99-years in length to comply with California law. The
Ground Lease can be renewed for an additional 99 yrs.
Are there other examples of land and building ownership separation at Tahoe?
Yes. Land ownership in condominium developments are commonly separated from
building ownership. In addition, there are more than 400 recreation summer-home
leaseholds on National Forest land around Lake Tahoe. The typical lease period
for these recreation summer-homes is 20-years and the homes cannot be used as
permanent residences.
Will this home remain affordable for future generations?
Yes. Housing affordability and sustainability are very important to Saint Joseph
CLT. The Ground Lease contains a resale formula that limits future sale prices
so that the home remains affordable for other moderate-income families in the
community. The resale formula allows for reasonable growth in home equity but
limits “windfall profits” in a hot housing market. CLT home buyers agree to
pass-on the same pricing benefits that they received when they purchased their
home to future home buyers. Community land trusts are sustainable, in part,
because they do not need additional subsidies each time a home resells. Saint
Joseph CLT’s resale formula is tied to inflation as measured in the “Area Median
Income Index” published by the U.S. Dept of Housing and Urban Development.
Must I be a member of SJCLT to purchase or own this home?
No. However, some preference is given to Saint Joseph CLT members in an adopted
point system if more than one household makes application to purchase the home.
Preference points are also given for location of residency, location of
employment, and similar considerations. The point preference system is described
in the SJCLT application to purchase the home.
Once the home is purchased, who is responsible for its upkeep and
maintenance?
Unlike rental housing, homeowners are responsible for building upkeep and yard
maintenance. Saint Joseph CLT can provide training to help with typical
homeownership questions and repairs.
Can I leave this home to my heirs after my death?
Yes, however your heirs may be required to sell the home if they do not meet the
minimum ownership eligibility requirements applicable to a new home buyer.
Equity accrued in the home would be normally part of your estate, as allowed by
law.
I noticed that you have a three-person minimum occupancy requirement for
purchase of this home. Will we be required to sell the home if our household
size decreases in the future?
The three-person minimum household size is a requirement at time of purchase and
homeowners will not be required to sell if household size decreases when a child
or other non-owner resident moves away. However, if one of the owners listed in
the title of the home moves away, then the home may be required to be resold.
You cannot own an interest in this home and live in another permanent residence.
If one of the owners dies, the remaining owners are not required to sell.
I’ve never owned my own residence and I’m concerned that I may not have the
skills necessary to successfully purchase and maintain a home. Are there
resources available to help me?
Yes. Saint Joseph CLT offers homeownership training courses in partnership
with the South Tahoe Redevelopment Agency and NeighborWorks® America. Please
call Saint Joseph CLT for the latest training schedule.
I’m not currently in the housing market but need affordable rental housing.
What housing is available to me?
Saint Joseph CLT is co-owner of Sierra Garden Apartments, a 76-unit affordable
apartment complex in South Lake Tahoe. Please call (530) 541-7237 to inquire
about apartment availability. Saint Joseph CLT also maintains a list of many
affordable housing providers in the Tahoe area. This list is available on our
website or by calling (530) 541-8940.
Is Saint Joseph Community Land Trust a part of the Catholic Church?
Saint Joseph Community Land Trust is a lay organization of Catholic and
non-Catholic community members who acknowledge the right of every person to have
decent and dignified housing. The philosophy and actions of the organization are
rooted in Catholic social justice teachings. A person does not need to be
Catholic to be a member of the organization.
Do I have to be Catholic to buy or rent a home from Saint Joseph CLT?
No. Saint Joseph CLT is an equal housing opportunity provider and complies with
federal housing law. Housing is available to qualified applicants regardless of
religion, race, color, sex or national origin. Your religion has no impact on
the sale or rental of a SJCLT home.
I’m pleased to see a community-based organization working to help Lake Tahoe
residents. How can I support Saint Joseph Community Land Trust?
There are many ways you can help Saint Joseph CLT fulfill its mission in this
community. The easiest way is to become a member. Annual membership dues are
only $25 per person or $100 per business or organization. Saint Joseph is also
happy to accept volunteer time, talents, or donations. We invite all interested
persons to attend and participate in our regular membership meetings. You do not
need to join the membership to assist the organization.