The city sold seven properties as part of an effort to revive blighted sites and encourage housing production.
The city of Newark sold seven blighted or vacant properties for $1 each in a lottery aimed at supporting their rehabilitation, reports Gaby Galvin in Smart Cities Dive. According to Galvin, “Mayor Ras Baraka bills the $1-home program, which targets low- and moderate-income residents, as a way to close wealth gaps and prevent corporate investors from buying up homes and hiking up the rent.”
Buyers will have access to a low-interest mortgage to fund repairs or construction. The properties include vacant lots, single-family homes, and multifamily buildings. “Buyers can’t be current homeowners, they must have lived in Newark for at least five consecutive years — or have been recently displaced by gentrification — and they must live in the purchased home for at least 10 years.”
The program is meant to promote homeownership and boost the housing supply with new multifamily housing. Advocates see $1-home programs as one piece of the housing puzzle that cities can undertake alongside state and federal policies.
FULL STORY: Newark, New Jersey, sells residents $1 homes to fend off corporate property buyers
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City of Albany
UCLA Lewis Center for Regional Policy Studies
Mpact (formerly Rail~Volution)
Chaddick Institute at DePaul University
City of Piedmont, CA
Great Falls Development Authority, Inc.
HUDs Office of Policy Development and Research