Towns could count approved accessory homes toward affordable housing lists

The Executive Office of Housing and Livable Communities would oversee a program for accessory homes to qualify for local affordable housing lists. Participating municipalities and owners of accessory homes—separate homes on properties with a main home—would be covered. The state housing office would have to approve the municipality’s agreement. Owners would rent the home to households earning no more than 80% of the area’s median income, adjusted for household size. A recorded agreement would bind later owners and require yearly tenant income checks. Owners would live in either home on the property. Program homes would meet state building and sanitary codes, and discrimination based on race, color, or national origin would be prohibited. The rental restriction and owner residency requirement would last for the agreement’s term, which must be at least 10 years.

Local assessors would value participating properties based on their affordable housing restrictions. The land covered by a program agreement would have a taxable value capped at 75% of its fair market value. The assessment would reflect the agreement’s affordability requirements, income limits, and other restrictions. If income restrictions were violated, the property would be assessed at full market value until compliance was restored.

The state housing office could award development grants, and municipalities could offer grants or loans from dedicated local funds. State grants could cover up to 20% of an accessory home’s development costs. Local grants or loans could support development or preservation of program homes. State grants would depend on lawmakers providing money. State grant recipients would commit to housing people earning no more than 80% of the area’s median income. Local support could come from municipal affordable housing trusts, community preservation funds, or other dedicated funding. State grant recipients would have to maintain the required affordability for at least 10 years.

The state housing office would provide a statewide service matching homeowners with potential residents. The service would serve homeowners and potential residents of accessory homes in the program. The service would provide screening and verification, sample agreements, and ongoing support.