2007 CLT Network Foreclosure Survey

A survey of Community Land Trust organizations across the United States was recently conducted by the National CLT Network. Out of 3115 CLT homeowners covered by the 2007 survey, two foreclosures were reported -- a 2007 foreclosure rate of .06 %.

By comparison, in the 4th quarter of 2007, the annual rate for all U.S. mortgages was 2.0%, with some areas of the country running as high as 3.4%.

To put this all in context - in recent stable years, foreclosure rates for all U.S.mortgages have run a little over 1%. For instance: 2003 - 1.3%; 2004 - 1.1%.

The CLT foreclosure rate of 0.06% compared to the 2.0% crisis level, and even the rates from more stable years is striking evidence that the CLT method of homeownership is a safer way to help families become homeowners and remain homeowners. Community Land Trusts have insulated their homeowners from the"too-good-to-be-true" refinancing craze that is taking down so many low- and moderate-income American families. Vacant, foreclosed homes attract crime,lower surrounding real estate values, and devastate families and neighborhoods.