Policies and programs to support CLTs are those that create funds or incentives for the development of permanently affordable housing and the acquisition and permanent preservation of existing housing 

Homes for Lasting Affordability GBCLTN policy priority

• The Greater Boston CLT Network filed Homes for Lasting Affordability in January 2025 to create a new program that would subside the development of homeownership units that would be kept permanently affordable. 

• Currently, the homeownership subsidy program at the state, Commonwealth Builders Program, is restricted to subsidizing projects with short (15 yr) or mid term (30 yr) affordability requirements, and will not work with CLTs, which provide permanent affordability. 

Small Property Acquisition Fund GBCLTN policy priority

•  Acquisition and preservation of existing housing: GBCLTN designed, with partners, the Small Property Acquisition Fund (GBCLTN Policy Priority), which was approved by the legislature in 2022 and piloted in 2024. SPAF provides project subsidy to organizations acquiring existing housing units from the market, and keeping them affordable for a minimum of 30 years. CLTs using the program commit to permanent affordability of these properties. 

• $20M in spending authorizations for SPAF were made in 2024, but advocates must organize to ensure that the state allocates/spends this money on SPAF, to keep the program going.   

Donation tax credit

• MA’s LIHTC’s Donation Tax Credit (DTC) or “qualified donation” program provides state income tax credits to sellers who donate property to a qualified nonprofit that commits to long–term affordability. The tax credit is worth up to 50% of the donated value. 

• In addition to receiving a state income tax credit through the “qualified donation,” a seller will receive a federal charitable deduction on their federal income tax. The federal charitable deduction is based on the difference between the appraised value of the property and the sale price.

  • Tax Credit: reduces the amount of tax you owe or increase your tax refund.

  • Tax Deduction: reduces the amount of your income before you calculate the tax you owe.

  • to research and advocate for CLT-friendly amendments like rolling application, not annual

  • Read more here

Community Preservation Act

• "CPA is a state law passed in 2000 that allows Massachusetts communities to conduct a referendum to add a small surcharge on local property taxes. When combined with matching funds from the statewide Community Preservation Trust Fund, this dedicated fund is used to  build and rehabilitate parks, playgrounds, and recreational fields, protect open space, support local affordable housing development, and preserve historic buildings and resources."  Community Preservation Coalition

• Read more here

Local Option for Housing Affordability (LOHA) GBCLTN endorsed 

• This proposed legislation would allow towns and cities to implement a transfer fee on high cost, luxury real estate transactions to create a fund for affordable housing initiatives. Read more here. 

Tenant Opportunity to Purchase Act (TOPA)  GBCLTN policy priority 

• TOPA would give tenants in multifamily rental units the option to purchase their home (at market value) if the owner decides to sell it. While this legislation would not directly impact the home price, it does allow tenants to partner with community organizations (like CLTs) to fund the purchase of their homes. Read more here. 

Rent Control/Rent Stabilization GBCLTN endorsed 

• Rent control would limit the rate at which large landlords (over 5 units in rental ownership) raise the cost of rent. While rent control is not specifically linked to CLTs, CLTs promote dignity and affordability in housing, as well as community's right to stay, and not be pushed out by too-high cost of living. Read more here.

Community Investment Tax Credit 

• CITC provides a 50% refundable tax credit for eligible donations towards a community development corporation (like some CLTs). Read more here.

The Massachusetts Affordable Homes Act, passed in 2024, authorized over $5 billion in spending for housing initiatives in Massachusetts, much of which will be available for various types of low income, mixed use, or affordable housing development. New and existing programs named in the AHA can be researched and implemented in ways to support permanent affordability in housing. 

The MBTA Communities Act, which was signed into law in 2021, does not directly mention community land trusts, but opens the door for more by-right multifamily development and allows cities to continue to access funding from the state for housing development. CLTs could play an important role in ensuring affordability through potential partnerships with cities and developers as they aim to create more housing in MBTA communities.

At the federal level, the Housing and Community Development Act of 1992 designated CLTs as community housing development organizations (CHDOs), making them eligible to receive federal HOME funds for the acquisition, construction, or rehabilitation of housing, as well as for organizational operating expenses. This is crucial for the CLT movement as a whole, as it allows the organizations to access a significant federal block grant under the HOME Investment Partnership Program.

In addition to the HOME grant program, federal support for CLTs is bolstered by their recognition by Fannie Mae and Freddie Mac, two government-recognized mortgage-backed securities issuers that support liquidity and affordability in the housing market. Both Freddie Mac and Fannie Mae have developed guidance language and policies, as well as ground lease standards and ground lease rider forms for CLT homebuyers. With the backing of these federal agencies, the legitimacy of CLTs is increased in the eyes of traditional mortgage lenders, giving CLT homebuyers more options for financing their home purchases. 

In addition to existing federal policy, there are policies and proposals in the pipeline that could affect CLTs and help expand funding and access to affordable housing. 

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