Comments on: Land in Breckenridge; for millionaires only?

By: jared roy

jared roy — Wed, 06 Jun 2007 14:44:21 +0000

For the average 9-5 family living full-time in Breckenridge is a challenge. The only way we can afford to live here is with deed-restricted housing. Without it, most of us would have to live in small condos or 30+ miles out of town.

By: Joanne Hanson

Joanne Hanson — Wed, 06 Jun 2007 15:12:12 +0000

Hi Jared, I don't know if you read this post I wrote a month or so ago, but it talks about deed restricted housing. http://www.mountain-living.com/blog/20...houses-but-you-probably-cant-buy-one/ If we didn't have deed restricted housing, locals would really be in a tough spot. It is hard enough as it is!

By: Steve Dalton

Steve Dalton — Mon, 18 Jun 2007 04:09:54 +0000

I have a second home in Naples Florida, and the same applies. Now the market has softened a bit, but truthfully a regular working class family can not afford to buy a home in Naples. But so many thousands of working class families are needed to work in the industries that surround Naples.

I cringe though at “deed restrictions” … I don’t know yours, but the ones in Madison Wisconsin are draconian and socialist. They acually suggest a selling price and “set-aside” lots in neighborhoods for “unattainable families” Horrid and counter-productive.

What’s really needed is some leadership by cities or towns, they may very well have to develop some regular housing for regular people.

By: Joanne Hanson

Joanne Hanson — Mon, 18 Jun 2007 04:23:26 +0000

Hi Steve, Our deed restricted properties are usually scattered throughout the community. In Frisco, if you build a deed restricted unit into your development, you get one extra bonus unit, so on a half acre lot that is zoned at 16 units per acre, you might be able to put ten units; eight plus one deed restricted plus one bonus.


The deed restriction is almost always that you must work at least 30 hours a week within the county, and sometimes there are appreciation caps as well.  Usually 3% or the Consumer Price Index, whichever is greater.  I find a lot of locals would prefer to buy a smaller, market priced condo rather than be limited to 3% appreciation when second homeowners are seeing 10 to 12% a year.  They don't think it is fair, but there really is no other way to have it continue to be affordable as it passes from owner to owner.

In a couple of condo and townhome complexes where all units are deed restricted, they limit rental time frames so that you cannot rent for less than six months. That eliminates the second home owners who want to rent short term, but does allow second homes with only personal use. It restricts the buyer pool enough that it keeps the prices down, but the local can still get a little better appreciation than 3% in times when our market is very strong.