Relative to prohibiting corporations from purchasing single-family homes for a certain amount of time.
The introduction of HB 623 is projected to impact state laws significantly regarding the ownership and transaction processes for residential properties. By necessitating that non-natural persons register their ownership with the Secretary of State and file annual reports, the bill establishes new administrative requirements. Such measures are anticipated to curtail corporate investments in residential real estate, aiming to prioritize ownership by natural persons—individual homeowners—over investment entities, possibly influencing housing market dynamics and availability for families seeking homes.
House Bill 623 seeks to impose restrictions on who can purchase single-family and multi-family homes in New Hampshire. The bill specifically prohibits non-natural persons, i.e., corporations and other business entities, from acquiring such properties for a specified period, namely until those properties have been on the market for a minimum of 90 days. Exceptions are allowed for properties intended for non-housing development, which must be converted to another use within five years, and for entities developing housing that can hold onto those properties for no more than two years after an occupancy permit is issued.
The sentiment surrounding HB 623 is decidedly mixed. Proponents believe that the bill addresses critical issues around housing affordability and accessibility for local families by limiting corporate involvement in residential markets, which many feel exacerbates housing shortages. Conversely, detractors argue that restricting sales to corporations could negatively impact the housing market by reducing available capital and diminishing economic opportunities for property development. The contention reflects broader concerns over housing access versus market freedom.
Discussion around HB 623 has highlighted notable points of contention, particularly regarding its implications for the real estate market and corporate investment strategies. Concerns have been raised about the effectiveness of the proposed restrictions in genuinely benefiting homebuyers versus simply reshaping the competitive landscape without solving underlying housing challenges. The registration and reporting requirements also raise questions about the burden on business entities, and whether these requirements are overly bureaucratic or necessary for protecting local housing interests.