voluntary reduction of home appreciation
From: Chuck Learned (clearnedbminet.com)
Date: Sat, 25 Aug 2007 14:22:02 -0700 (PDT)

I am interested in the idea of voluntarily reducing our families home 
appreciation in order to keep our home affordable over the life of the home. I 
imagine that in the cohousing community people are already doing this to some 
degree when they go to sell their home to the new prospective members. For 
example in our community of Madison WI the federal statistics state just under 
4%. However in certain neighborhoods the rate has been much higher, 
particularly when the interest rates crashed. It seems to me the only way to 
keep homes affordable over 10-20 year spans and longer is to voluntarily reduce 
your appreciation rate.

The community organizer part of me says; if people were organized in 
communities around this concept that a case could be made for the local taxes 
to then be restrained to the voluntary pre-set rate of appreciation say 
2.5%.The benefit to this city is it becomes part of their portfolio of 
supporting homes remaining affordable for lower incomes and reduces 
gentrification etc.  This rate would have to be legally carried forward to the 
next buyer for the life of the home to work. Hence it takes people who view the 
needs of others as equal to their own. This is why it seems to be a natural for 
cohousing and for people to organize around in order to assist and support each 
other in this commitment.

I am wondering if anyone has organized around this concept and if anyone knows 
of formal/informal organizations who have incorporated this concept?  I am 
interested to hear about the positives and negatives of this idea around 
utilizing it in  cohousing.
Chuck Learned

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