1 of 1
HOUSE DOCKET, NO. 4371 FILED ON: 2/3/2025
HOUSE . . . . . . . . . . . . . . . No. 3930
The Commonwealth of Massachusetts
_________________
PRESENTED BY:
Mike Connolly and Erika Uyterhoeven
_________________
To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:
The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
An Act authorizing the city of Somerville to impose a real estate transfer fee.
_______________
PETITION OF:
NAME:DISTRICT/ADDRESS :DATE ADDED:Mike Connolly26th Middlesex2/3/2025Erika Uyterhoeven27th Middlesex2/3/2025 1 of 5
HOUSE DOCKET, NO. 4371 FILED ON: 2/3/2025
HOUSE . . . . . . . . . . . . . . . No. 3930
By Representatives Connolly of Cambridge and Uyterhoeven of Somerville, a petition
(accompanied by bill, House, No. 3930) of Mike Connolly and Erika Uyterhoeven (with the
approval of the mayor and city council) that the city of Somerville be authorized to establish a
real estate transfer fee on certain real estate transactions in said city. Revenue. [Local Approval
Received.]
[SIMILAR MATTER FILED IN PREVIOUS SESSION
SEE HOUSE, NO. 3845 OF 2023-2024.]
The Commonwealth of Massachusetts
_______________
In the One Hundred and Ninety-Fourth General Court
(2025-2026)
_______________
An Act authorizing the city of Somerville to impose a real estate transfer fee.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
of the same, as follows:
1 SECTION 2. Except where otherwise exempted pursuant to this act, the City of
2Somerville may impose a fee of up to two per cent (2%) of the purchase price upon the transfer
3of any real property interest or the transfer of a controlling interest in a trust, limited liability
4company, or other entity that directly or indirectly holds an interest, in any real property situated
5in the City of Somerville, as follows: (A) a fee in the amount of one per cent (1%) of said
6purchase price shall be due and payable by the seller; and (B) a fee in the amount of one per cent
7(1%) of said purchase price shall be due and payable by the purchaser. In the case of a transfer of
8a controlling interest, the City of Somerville may define by ordinance what constitutes a 2 of 5
9controlling interest and the calculation of the fee. The City of Somerville is hereinafter referred
10to as the “City”.
11 (a) Exempt Transfers. The following transfers of real property interests shall be exempt
12from the fee established by this act: (i) transfers between family members as may be defined by
13ordinance; (ii) transfers of convenience as may be defined by ordinance; and (iii) transfers to the
14government of the United States or any other instrumentality, agency or subdivision thereof, or
15the Commonwealth or any instrumentality or subdivision thereof.
16 (b) Exempt Sellers; Fee Due by Non-Exempt Seller. The seller of residential real property
17in the City shall be exempt from the fee authorized in Section 2, if the seller of such real property
18is:
19 (i) a vulnerable senior, as may be defined by ordinance or
20 (ii) a taxpayer approved by the City for an exemption for residential real property
21pursuant to section 5C of chapter 59 of the General Laws or any special law for the property to
22be transferred (referred to as the “residential exemption”), or meets all qualifications for approval
23of same, for the two immediately preceding years as of the date of the deed or other instrument
24evidencing such transfer or such other date as may be defined by ordinance. This exemption shall
25not apply to residential real property which contains four or more dwelling units.
26 If the seller of such real property is an heir-at-law or devisee, and the transfer of said real
27property is within one year from the date of demise of the deceased owner of such real property
28and such owner met the above residential exemption requirement, or would have met all
29qualifications for approval of same, the seller shall be exempt from said fee. 3 of 5
30 If the seller is not exempt, the fee shall be due and payable by the seller to the City at the
31time set forth in Section 3.
32 (c) Exempt Purchasers; Fee Due by Non-Exempt Purchaser. The purchaser shall be
33exempt from the fee authorized in Section 2 if:
34 (i) that purchaser is a vulnerable senior, as may be defined by ordinance or
35 (ii) prior to the recording of any deed, the purchaser of such real property submits an
36affidavit of intent to the City to seek a residential exemption for that property, on a form
37approved by the City, in which case the purchaser shall be provisionally exempt from the fee in
38Section 2, subject to this section. Such provisional exemption for such transaction shall be made
39permanent, and the fee shall be permanently waived, if said purchaser is approved by the City for
40a residential exemption with respect to such real property for the first two years following the
41date of transfer in which the purchaser would first be eligible to apply for said residential
42exemption. If the purchaser does not submit said affidavit, the fee shall be due and payable by
43the purchaser to the City at the time set forth in Section 3. If the purchaser does not obtain
44residential exemptions during the first two years following the date of transfer, the fee shall be
45due and payable by the purchaser upon a failure to obtain either required exemption. This
46exemption shall not apply to residential real property which contains four or more dwelling units.
47 (d) The fee shall be paid to the City of Somerville. The City is authorized to adopt an
48ordinance to provide for the collection and liening of any outstanding transfer fee. The City shall
49have such remedies to collect said amount as provided by law with respect to the collection of
50real property taxes. 4 of 5
51 (e) The City shall deposit all fees received pursuant to this act into the Somerville
52Affordable Housing Trust Fund established by the City.
53 SECTION 3. A copy of the deed or other instrument evidencing such transfer shall be
54provided to the City and shall be accompanied by, (a) an affidavit signed under oath or under the
55pains and penalties of perjury by the purchaser and seller attesting to the purchase price, (b) the
56applicable fee owed, (c) the basis, if any, upon which the transfer, or one or both of the parties to
57the transfer, is claimed to be exempt in whole or in part from said fee, and (d) if applicable, an
58affidavit of intent to seek a residential exemption for that property by the purchaser. Upon receipt
59of such payment and/or satisfactory evidence of exemption, the City or its designee shall
60promptly thereafter issue a certificate indicating that the fee has been paid or that the purchaser
61or seller, or the transfer, is exempt from the fee. The Middlesex South Register of Deeds shall
62not record or register a deed unless the deed is accompanied by such certificate.
63 SECTION 4. The City may, by ordinance, adopt additional requirements, exemptions,
64and regulations to implement or enforce said fee, consistent with this act. The City is not
65authorized to eliminate or reduce any exemption set forth in this act.
66 SECTION 5. The Affordable Housing Trust Fund, as permitted by the ordinance
67establishing said Affordable Housing Trust Fund and its governing documents, shall use revenue
68from the fees raised pursuant to this act to fund affordable housing programs including, but not
69limited to, limited equity arrangements, community land trusts, purpose-built housing, and other
70programs to underwrite the affordability of properties with a preference, where permitted by
71applicable law, for current and recent Somerville residents and employees. 5 of 5
72 SECTION 6. The City shall prepare and issue an annual report that (i) identifies fee
73receipts by payer category including buyers and sellers; (ii) quantifies affordable housing
74programs funded, including type and purpose, and (iii) evaluates the impact of said affordable
75housing programs, including but not limited to, to the extent reasonably possible and permitted
76by applicable law, the number and demographics of individuals and families served as well as
77measures of housing stability and wealth generation in the community.