Is MWCLT Right for Me?

Do I Qualify?

2019 MWCLT Household Income Limit Adjusted for Family Size

Family size 80% AMI 115% AMI
1 person $48,400 $69,550
2 people $55,300 $79,500
3 people $62,200 $89,400
4 people $69,100 $99,350
5 people $74,650 $107,300
6 people $80,200 $115,250
7 people $85,700 $123,200
8 people $91,250 $131,150

For a mortgage of $160,000, for example, you can expect monthly payments for your mortgage, insurance, taxes, and interest (PITI) to be around $984. This is assuming $35 a month for insurance, $185 a month for taxes, and a 30-year, 4% interest mortgage. Staff will help you factor your debt payments (credit cards, student loans, car loans, etc.) and other costs of living into your budget and offer financial education courses when needed.

If your credit score is below this, we can recommend credit repair courses to help you resolve credit issues, increase your score, and prepare for homeownership.

Early on in the process, the MWCLT and Housing Opportunities Made Equal (HOME) staff will work with you to discuss how much you should have in savings to prepare to buy a home.

What Does Homeownership Mean for Me?

This number may be updated every 5 years to keep up with inflation, but it will not be higher than $250 per year.

Owning a home means taking care of maintenance and repairs yourself. This means you are responsible for fixing any problems with the house, regularly performing preventative maintenance on the home (cleaning the gutters, changing air filters, cleaning out drains, etc.), and keeping the property in good condition (mowing the lawn, weeding, trimming overgrown hedges, etc.).

The MWCLT wants to support families who will live in their homes and become members of the community, not rent them out to other people for profit. If you are hoping to rent your home out to someone else, the Community Land Trust is not the program for you.

We require that any major modifications to your home that require a building permit or certificate of occupancy be reviewed and approved by the MWCLT, before any demolition or construction occurs.

MWCLT’s mission is to keep single-family homes permanently affordable in communities around Richmond. We will help to find an income-qualified buyer for you. This is an extra safety net for you – it ensures that you can sell your home in a timely manner.

How Will I Build Wealth?

MWCLT wants to ensure that people who are normally priced out of the homeownership market have an opportunity to build some equity, while keeping the home affordable for the next buyer. When MWCLT homeowners sell the house, they benefit from 50% of the increase in market value. The remainder stays in the house to reduce the sales price and make the house affordable for the next buyer.

If your property appraised at $185,000 at purchase and after five years, appraises at $225,000, then the increase in value from the first appraisal is $40,000. When you sell the house, you earn 50% of that increase as equity, so your share would be $20,000. The remaining $20,000 stays in the house to reduce the sales price for the next buyer.

If you answered “yes” to these questions, MWCLT homeownsership might be right for you.