SPRINGFIELD —Thanks to a new initiative from State Senator Graciela Guzmán to expand the accepted payment plans for homes through community land trusts, more people may soon have the opportunity to become homeowners.

“Housing is a human right. We should be doing everything in our power to make it more affordable and accessible for everyday Illinoisans, including homeownership,” said Guzmán. “Community land trusts are a great pathway to make the dream of homeownership a reality and allow for folks to have more stability in their living situation. I am excited that this initiative will work to make this method of landownership more common, and to continue to build on the ingenuity of their model.”

Community land trusts, or CLTs, are community-based, nonprofit organizations that manage a parcel of land to preserve long-term affordability of homes created through subsidies. CLTs sell homes on the land they manage at affordable prices to a qualifying homebuyer. Oftentimes, they place limits on the incomes of people looking to purchase homes to ensure affordable housing is going to people in the most financial need. Driven by constituents, for constituents, this model aims to keep folks in the community that may otherwise be priced out by corporate rent and mortgage rates. 

Senate Bill 1261 would further incentivize prospective homebuyers to invest in CLTs by making the IHDA Access Forgivable, Access Deferred, and Access Repayable mortgage programs available to people seeking property owned by a community land trust. These programs offer more flexibility for buyers to pay their mortgage, which may encourage people to invest in property with CLTs. 

“Community land trusts have the capability to offer affordable housing to folks who have been part of our neighborhoods for generations—we just need to make the method of purchasing property through them more accessible,” said Guzmán. “With this initiative, more people will be able to become homeowners through CLTs, creating generational wealth and stability that will aid them for years to come.”

“My husband and I love being homeowners. We love having a home that we can pass down to our son and daughters,” said Ludivina Resendiz, a homeowner at the Here to Stay Community Land Trust in Chicago. She was able to become a first-time homeowner through the affordability measures offered with the land trust. “We love the sense of security and stability! We love being able to walk to Mexican-owned stores, restaurants including La Michoacana, and I love rolling my carrito to Cermak Foods.”

Senate Bill 1261 passed the Senate Judiciary Committee Wednesday.

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