Cohousing-L Mailing List: Re: co-housing and real-estate investments

[RAYGASSER (RAYGASSER]

Dan Everett wrote about the community buying back houses (optionally) at
a *cost plus inflation* price, before the owner could offer it on the open
market, thereby potentially limiting the equity growth of the house.

At EcoVillage at Ithaca we've decided that the community will always get
right of first refusal on any offer that gets made. We can match the offer
(or, realistically, the next person on the waiting list can match the offer),
and buy the house. This doesn't limit what someone can make on the house,
but it does keep our waiting list concept somewhat real.

We also will have an "appreciation tax" of sorts. I think it's about 25%
of the net increase in house value (after improvements, and I don't remember
if it includes an inflation factor). Half will go to general funds and
half will go to setting up a fund for subsidizing low-interest (or no-interest)
loans or grants for potential low-income residents.

Ray Gasser, EcoVillage at Ithaca
raygasser [at] delphi.com