In 2025, the New Hampshire Legislature passed important and meaningful laws intended to increase housing inventory across the state. A summary of those laws can be found in New Hampshire Association of REALTORS’ New Laws booklet.
Earlier this month, more than 50 members of NHAR’s Public Policy Committee spent four-and-a-half hours reviewing, discussing, and debating 153 bills introduced in the 2026 legislative session. Each of these bills affects private property rights, housing availability and affordability, or real estate licensing in New Hampshire.
A full chart of all bills under review can be found here.
The Legislature began public hearings last week. Below are several key highlights.
Some lawmakers move to undo recent housing wins
With the ink barely dry on housing laws enacted in 2025, some legislators are already attempting to roll them back.
Last week, the House Housing Committee heard testimony on several “redo” bills, including:
- HB 1136: would significantly restrict a property owner’s right to build an accessory dwelling unit (ADU)
- HB 1098: would eliminate the newly granted ability to build on a Class VI road
- HB 1107: would make the construction of manufactured housing more difficult and costly
- HB 1009: would increase minimum parking requirements for housing units
- HB 1010: would remove the ability to build certain residential units in commercial zones
NHAR testified in opposition to each of these bills.
Realtors emphasized that while government has a legitimate role in regulating health and safety, the housing laws passed in 2025 were carefully crafted to preserve municipal authority to protect communities and future occupants. These rollback proposals do not enhance safety — instead, they would increase construction costs, reduce housing opportunities, and worsen the state’s housing shortage.
Final House action on these bills is expected next month.
New taxes on second homes
Three bills — HB 1580, HB 1707, and HB 1786 — would create a new tax on vacation or second homes, sometimes referred to as “unoccupied dwellings.” NHAR is opposed to all three.
HB 1707 is particularly concerning. It would effectively double the property tax on certain second homes and, by the sponsors’ own admission, is intended to be punitive and discourage second-home ownership altogether.
For as long as the United States Census Bureau has tracked housing data, second homes have been a core part of New Hampshire’s real estate market — peaking at 16 percent of all housing units in 1970. A new tax targeting these properties would likely reduce property values, not only for second-home owners but also for year-round residents.
NHAR argued that these proposals would not increase housing supply, would be difficult to enforce, and place New Hampshire in uncharted territory. No other state has enforced such a tax.
House action on these bills is expected in the coming weeks.
Is the hardship criteria on its way out?
Under current New Hampshire law, a zoning board of adjustment may grant a variance only if an applicant proves that:
- The variance is not contrary to the public interest;
- The spirit of the ordinance is observed;
- Substantial justice is done;
- The variance will not diminish surrounding property values.
In addition, applicants must demonstrate “unnecessary hardship.” Under case law, this typically means the property cannot reasonably be used as zoned or that strict enforcement would be unfair due to unique property conditions.
In practice, the hardship test has become confusing, redundant, and inconsistently applied. It is frequently used as a catch-all justification to deny variances and is, by far, the leading cause of appeals to Superior Court and the Housing Appeals Board.
Senate Bill 435 would eliminate the hardship criterion while preserving all four remaining safeguards. NHAR testified in support of the bill, arguing that its passage would lead to clearer decisions, lower costs, and better outcomes for both property owners and municipalities.
The New Hampshire Senate Ways and Means Committee is expected to vote on SB 435 in the coming weeks.
Quote of the Week
“I think it’s very important that we make sure that this legislation that was passed, that we’re following up and seeing how it’s working and making sure it’s working effectively. I think it’s good policy.”
— Governor Ayotte, discussing housing legislation passed into law in 2025 (New Hampshire Bulletin, January 19, 2026)
For more information, contact New Hampshire Realtors CEO Bob Quinn: bob@nhar.com.