[refurb]

How does that control the cost of housing?

I'm assuming that one would go to a land trust, sign a contract to rent a lot for $X/month for 99 years (or something similar).

Then you would build a house, probably get a construction mortgage to afford it. Then your monthly payments would be mortgage + $X.

Area becomes wildly attractive and people move in. Suddenly people are offering mortgage * 200% for your house, knowing they'll add $X to their money payment.

Housing still gets expensive. What am I missing?

[bufordsharkley]

Based upon the details of this diagram from Wikipedia[0], it appears that there are restrictions on resale. The CLT sets maximum prices for resale (I'd like to know how), allowing some profit.

In some ways, this appears to be analogous to rent control, except each apartment is replaced by a home.

I see some similar issues, though-- if a CLT becomes extremely attractive, I wouldn't suspect it wouldn't necessarily respond to signals that more housing stock is needed. You could get to the point that there's a scarcity of affordable housing, much as you see with rent control today.

Am I missing something in this analysis?

[0] https://upload.wikimedia.org/wikipedia/commons/5/50/Communit...

[refurb]

Thanks for digging it up. I agree that a limit on sale price is just like rent control. Creates a ton of distorted incentives in the marketplace.

[bufordsharkley]

I could see it being useful in spreading risk, etc (it could essentially replace the need for zoning laws), but it doesn't really attack the underlying problem.

I see it as being compatible with a land value tax (which would align incentives optimally), but not a replacement for it.