Shared Equity Homes
Champlain Housing Trust offers down payment assistance grants which are perpetually (forever) tied to the property, thus keeping that property affordable for generations to come. In exchange for the grant, CHT gets the first option to purchase back your home when you want to sell once a low or moderate- income buyer has been found. In addition, you share the equity of your home in order to keep the house affordable. Your sale price is based on what you paid for the home plus approximately 25% of the home's appreciation. Finally, as a community land trust, CHT will own the land under the house and you will enter into a ground lease for the use of the land.
HOW CAN I BUY A HOME using the Shared Equity Program?
Select A Property:
- Resales - CHT has over 500 properties in its portfolio. Resales are the sale of a property which is already in the CHT's portfolio. When our current homeowners want to sell, we help to sell to another income-eligible buyer.
- New Construction - Sometimes CHT develops new construction housing and provides grants to make those purchases more affordable. Grants can vary depending on the property and household income.
- New properties- Once a year, CHT receives grants to provide eligible buyers with down payment grants to purchase CHT approved homes of their choosing on the open market and bring them into the Trust.
Meet Eligibility Requirements
- Be members of the Champlain Housing Trust (minimum $1 membership fee)
- Have a current & complete Shared Equity Program Application on file
- Be income-eligible (using Area Median Income Guidelines) and asset-eligible for the property based on the restrictions of the funding source(s)
| Household Size | Maximum Income |
|---|---|
| Note: These guidelines are based on gross household income for the previous 12 months. Income guidelines are subject to change. | |
| 1 | $54,300 |
| 2 | $62,000 |
| 3 | $69,800 |
| 4 | $77,500 |
| 5 | $83,700 |
| 6 | $89,900 |
| 7 | $96,100 |
| 8 | $102,300 |
If your income is close to these amounts, please apply. You may still qualify.
- Have completed a NeighborWorks® Homeownership Center Orientation and Homebuyer Education Workshop
- Be deemed mortgage ready* by a NeighborWorks® Homeownership Center of Vermont and be in a position to afford a mortgage for the property of interest. Their credit report must reflect the fact that they will likely be eligible for a mortgage
- Have submitted a copy of a pre-approval letter from a lender meeting the above guidelines to a CHT staff member. The pre-approval letter must be no more than 90 days old and reflect current income
- Be prepared for closing costs to range from $4,000 to $6,000. There is a minimum $3,000 personal savings requirement.
- Not have an ownership interest in another primary residence at the time of purchase of CHT home
In addition to the above eligibility requirements, all CHT buyers will be responsible for paying a $1,000 CHT transaction fee, payable at closing. The transaction fee covers a portion of the costs incurred by CHT in its facilitation of the transaction.
Next Steps
- Contact the Shared Equity Program expert Brandy Grattan
- Sign up for a Shared Equity Information Meeting by calling 862-6244
- download a SEP Application
| Meeting Dates | Location | Time |
|---|---|---|
| St. Albans meeting dates available by special request. | ||
| Wednesday, May 15 | Burlington | 5:00 PM |
| Friday, June 7 | Burlington | 12:30 PM |
| Wednesday, June 19 | Burlington | 5:00 PM |
| Friday, July 12 | Burlington | 12:30 PM |
| Wednesday, July 24 | Burlington | 5:00 PM |
| Friday, Aug 2 | Burlington | 12:30 PM |
| Wednesday, Aug 21 | Burlington | 5:00 PM |
* Definition of a customer who is mortgage ready: A NeighborWorks®Homeownership Center customer who has been pre-approved for an "A"loan. The customer must be able to afford a loan at an interest rate ofnot more than 1% above the VHFA-MOVE rate and/or one other interestrate from a local, affordable mortgage program, paying no more than 2points.
Our grant program is made possible by the Vermont Housing & Conservation Board, which provides approximately $1 million annually statewide to assist Vermonters make their home buying dreams come true.
