Approximately 450 members of the Massachusetts Association of Realtors convened at the Massachusetts State House in Beacon Hill earlier this month as part of an annual “lobbying day.” Members came prepared with a packed agenda for their meetings and discussions with elected officials, as housing policy is once again at the forefront of the current legislative session. A statewide shortage of housing has pushed prices beyond affordability for many Massachusetts residents, and the problem is particularly acute in Boston. Proposals from the governor’s office and the mayors of Boston and surrounding municipalities have received plenty of attention in the last year, but here is where MAR members stand on these and other related issues:

Increased housing production

MAR lended its official support to Governor Charlie Baker’s Housing Choice Initiative, a bill introduced to state representatives earlier this year. The bill’s primary goal is to amend a state law that currently requires local zoning changes to be approved only with the approval of a two-thirds majority vote by the municipality’s zoning board. Reducing this requirement to a simple majority of at least 51 percent in favor could make it easier for contentious zoning restrictions to be lifted, thus paving the way for increased housing production. MAR said it also supports measures related to housing production stimulus, many of which have been brought up recently at the state or local level. These include ordinances that would reduce barriers to renting out accessory dwelling units, as well as ramped-up development for multifamily housing.

First-time buyer savings

In June 2017, state Sen. Julian Cyr first filed a bill that would create first-time homebuyer savings accounts for use in Massachusetts. Under Cyr’s proposal, taxpayers could save up to $10,000 per year (for married joint filers) in a tax-deferred savings account earmarked specifically for a home purchase. MAR supports this bill, which is currently working its way through the state’s Joint Committee on Revenue.

Continuing education requirements

A bill in progress in both the House and Senate, both presented by Sen. Paul R. Feeney of Bristol and Norfolk, would improve the MAR board’s “ability to self-govern” continuing education requirements for members. “This bill will align real estate with other licensed professions and assure that Realtor continuing education remains relevant and nimble facing changes in technology and the profession,” according to a statement from MAR.

Proposals MAR opposes

MAR members also came to Beacon Hill with a list of legislative proposals they opposed, including:

• Real estate transfer taxes: Proposals by both the governor and members of the Boston City Council this year have floated the idea of levying new or increased taxes on real estate transfers. Governor Baker’s proposal, included in his provisional state budget released earlier this year, would increase the state’s tax rate on real estate transfers to raise revenue earmarked for climate change mitigation efforts. MAR opposed the idea, which has yet to come to a vote, writing: “The imposition of this type of new sales tax on homes could have serious implications for the Massachusetts economy and set the wrong precedent for the Commonwealth’s tax policies… Singling out home buyers and sellers to pay additional taxes in order to solve these community-wide problems is inequitable and exacerbates the housing crisis by creating an entrance or exit fee to homeownership.”
• Mandatory energy audits: MAR said it opposes any bill that would mandate an “energy scorecard” based on an energy consumption audit to be compiled and released to prospective buyers as part of a home sale. A proposal to institute an energy audit and scorecard program for residential listings was removed from a state Senate bill last year, although the idea still has support from some representatives. “Massachusetts is home to some of the oldest housing stock in the country and mandatory energy scoring of such older homes would significantly stigmatize and potentially devalue an individual’s largest investment,” MAR said in a statement.