Establishing a real estate transfer fee upon the transfer of property in the city known as the town of Amherst
Impact
The bill allows Amherst to collect revenue from transactions that might otherwise evade taxation, thereby creating a new funding source that could support local initiatives. Specifically, the first $250,000 collected annually from this fee is designated for the town's Municipal Affordable Housing Trust Fund, aimed at promoting affordable housing projects within the area. The remaining funds could support various town services as decided by local bylaws.
Summary
House Bill 4193 seeks to authorize the town of Amherst, Massachusetts, to impose a real estate transfer fee of up to 2% on the sale of property within its jurisdiction. This fee would apply to any real property interests or a controlling interest in entities that hold residential properties in Amherst. The town would have the authority to delineate what constitutes a controlling interest in such transactions, ensuring clear guidelines for implementation.
Contention
While proponents argue that this bill will empower the town to address pressing housing concerns and generate necessary revenue, opponents may view it as an additional financial burden on homeowners and potential buyers. Concerns around affordability and the implications of imposing such a fee in a local context are anticipated challenges during discussions. The bill includes exemptions for transfers related to government entities, affordable housing, and family transfers, attempting to mitigate some opposition by easing financial strains on these groups.
Establishing a real estate transfer fee upon the transfer of residential property in the Town of Falmouth for the purpose of funding affordable housing