HB 1786 imposes a semi-annual state assessment on residential properties valued over $1 million that are not used as a primary residence (luxury second homes), directly affecting owners of such properties. The revenue generated funds statewide housing development programs, including $15 million for workforce training in building trades and municipal grants for housing production. Key provisions include creating a dedicated fund for demolishing vacant buildings, expanding tax credits for housing infrastructure, and establishing a commission to study state financing for housing. The bill aims to address New Hampshire's housing shortage by leveraging new revenue to support affordable housing construction and workforce development.
HB 1674 creates a new homestead tax exemption for lower-income homeowners in New Hampshire, directly affecting individuals who own and reside in a single primary residence. To qualify, applicants must have a household income at or below 100% of the median income for a 3-person household in their area (per HUD data), have lived at the property for at least one year prior to April 1, own no more than one property as their primary home, and meet their municipality’s assessed home value limits. Municipalities must hold a vote to adopt the exemption at a town meeting or through their legislative body; it is not automatic. The exemption would take effect on April 1, 2027, and applies only to properties meeting these specific income and residency criteria.
HB 1103 expands tax relief credits for municipalities by allowing them to apply community revitalization tax credits to more property types. Specifically, it enables tax credits for converting existing office, commercial, or industrial buildings to residential use, and for new residential construction meeting affordability standards. Properties must be located in designated housing opportunity or residential conversion zones, with tax relief lasting up to 11 years if workforce housing is created. This directly affects property owners and municipalities seeking to incentivize housing development in targeted areas. The bill amends New Hampshire’s tax code to broaden eligibility beyond current standards, effective April 1, 2027.
HB 1295 requires nonprofit housing projects seeking property tax exemptions in New Hampshire to meet stricter eligibility criteria. Key provisions include mandating that at least 20% of residents receive services free or at reduced cost based on income, requiring transparent fee policies published online, and prohibiting the use of excess funds for personal benefit. The bill directly affects charitable housing facilities serving elderly (62+) and disabled residents that rely on tax exemptions. These requirements take effect April 1, 2027, and apply to projects operated under state law or federal housing programs.
HB 1707 imposes an additional tax on properties left unoccupied for six or more months annually or used as short-term rentals for that period, requiring owners to pay the full local property taxes owed. It also creates a one-time exemption from the real estate transfer tax for first-time homebuyers with household incomes at or below 100% of the HUD-defined median for their area, who do not own other property. The tax applies to property owners, while the exemption directly benefits qualifying low- and moderate-income homebuyers. The bill takes effect April 1, 2027, with a $300,000 estimated one-time implementation cost.
HB 1764 sets annual workforce housing targets for New Hampshire municipalities (cities, towns, and unincorporated areas) based on factors like available land, infrastructure access, and proximity to jobs. Municipalities failing to meet 50% of their cumulative target by 2028 must review zoning barriers and develop improvement plans, and may face a special property tax on high-value properties ($1.5M+). The tax revenue funds a revolving loan program offering below-market-rate financing to developers for workforce housing projects and related infrastructure upgrades. This bill directly affects local governments and housing developers by creating accountability measures and new funding streams for affordable housing.
HB 1588 establishes a process for cities and towns to create special assessment districts to fund infrastructure improvements (like roads, water, and sewer systems) directly tied to new housing developments. Municipalities can finance these projects through property assessments on benefiting parcels - collected over up to 20 years - without using general tax revenue. The bill also expands an existing state grant program to fund municipal infrastructure upgrades for new housing, with a $1 appropriation for fiscal year 2027. This directly affects municipalities planning new housing projects and property owners within designated districts who may face assessments based on their specific benefit from improvements.
HB 1417 allows New Hampshire towns, cities, and villages to implement a land value tax (LVT) system, where land is taxed at a higher rate than buildings or improvements. Municipalities must hold a public hearing and adopt the system via local vote, setting separate tax rates for land value (higher) and improvement value (lower or zero), with a transition plan. The bill requires transparent public reporting of parcel-level land and improvement values and appropriates funds to the Department of Revenue Administration for implementation support. It ensures existing education and county taxes remain unchanged, and all state tax exemptions still apply first to building improvements before land. This policy shifts the tax burden from buildings to land ownership, aiming to encourage efficient land use and housing development.
HB 1660 allows New Hampshire municipalities to use project-based credit enhancement agreements (CEAs) to incentivize specific housing developments without requiring a full tax increment financing (TIF) district. It directly affects municipalities and developers building qualifying housing projects, such as senior housing, skilled care facilities, workforce housing, or other community-identified housing needs. The bill clarifies that housing-related captured tax revenue will be excluded from equalized property valuation calculations, preventing towns from facing artificially inflated state tax bases. This change streamlines support for housing projects while excluding conversions of existing homes, luxury developments, or individually owned units like single-family homes. The law aims to address housing shortages by making municipal financial tools more accessible for housing-focused initiatives.
HB 1763 requires New Hampshire's Department of Health and Human Services (DHHS) to pay municipalities compensation equal to the lost property tax revenue from nonprofit residential facilities (like nursing homes or shelters) that are tax-exempt under state law. This compensation is calculated based on each facility's assessed property value and the municipality's tax rate, paid to the municipality before DHHS funds are disbursed to the nonprofit. The bill mandates nonprofits to provide property assessment verification, and DHHS must pay this compensation no later than 30 days prior to funding the facility. The fiscal note estimates annual costs of $11.5 million+ starting in 2027, funded from existing appropriations without new revenue or positions.
