Affording to Buy a Sitka CLT Home

• Affordable Purchase. The SCLT is set up in way to make it possible to afford a home in Sitka. The cost of the land is removed from the cost of the home. In Sitka, that is a big deal because land is expensive here.
• Economical Loans. Our local lenders and SCLT staff can help you navigate the process of acquiring a mortgage safely and economically. Alaska Housing Finance Corporation (AHFC) and USDA Rural Development both have programs that the lenders know about that can help you affordably purchase your home.
• Counseling if it's needed. SCLT will help you before the purchase and after. Do you need help with housing counseling, budgeting and financial management counseling? If we can't help, we'll help you find someone that can.
• Building Equity. SCLT's resale formula is designed to create modest equity. You will earn a reasonable amount of equity when it's time to sell your home while at the same time keeping the price affordable for the next homebuyer.

What's Different about a SCLT home?

99 Year Renewable Lease. When a Sitka CLT home is initially sold, the land and the improvements are separated. As a homebuyer, you purchase and own the home and all improvements. The Sitka CLT retains ownership of the land and leases it to you for 99 years (and you can pass it along to your children and it can be renewed for an additional 99-year term.)

What's the Same about a SCLT home?

You Own Your Home. As a CLT homeowner, you will have many of the same rights and responsibilities as any homeowner. You control the use of the home you own and the land you lease. You will be responsible for following the same rules as any homeowner, as well as for maintaining your home, keeping it insured, and for paying property taxes. You can stay in your home as long as you wish. Should you ever decide to sell your home, you will be able to keep the equity that is yours but there will be a price restriction in order to make sure the home remains affordable to the next limited-income homebuyer.

What are the Costs of Owning a SCLT home?

As a homeowner, you will pay a nominal monthly fee ($75) to the Sitka CLT - $50 of which will go to SCLT to help offset their costs to administer the program and $25 will be set aside to create a reserve fund you will be able to use for necessary repairs to your home. This Repair and Maintenance Fee stays with the house when you sell. You will also be responsible for the annual property taxes for both the leased land and the home. This will be included in your mortgage payment. The S'us' Héeni Sháak Community Neighborhood Homeowners Association is currently charging $35/month.