The concept is simple and has been done successfully on the West Coast. Government contributes land to the project and contracts the building of the housing to the private sector. Low rate mortgages are issued and funded through the municipal bond market (secured by the real estate, so the State's excellent credit rating is not impaired). Buyers enter the program with no money down but must pay the full cost of the (below market rate) mortgage, insurance, property taxes and coop fees (for maintenance of the common grounds). In exchange for the subsidized financing, profit on the resale of units is limited to the increase in the CPI (consumer price index) plus improvements. That's the limited equity part. It insures that subsidized buyers can build-up some equity in their home (and trade-up later) but it also ensures that the limited equity housing remains affordable to subsequent buyers. It is a win/win.