SB164

Throughout the country, homeowners are being solicited to enter into agreements with a duration of 40 years. The service provider undertakes to pay a homeowner a relatively small sum of money, typically a few thousand dollars. In exchange, the homeowner signs an agreement stating that if they chose to list their home, they will utilize the service provider. If the homeowner lists their home with another brokerage/service provider, the homeowner is charged a “termination fee” of 3% of the then market value of the property. These agreements, which are recorded in the land records, are binding upon the homeowner, their heirs and/or Personal Representatives, and upon subsequent owners of the property. We should be protecting citizens of New Hampshire from unfair service agreements. These predatory real estate deals deliberately target older adults because older adults on fixed incomes facing rising property taxes and living costs are especially vulnerable. For these New Hampshire residents, the promise of a few thousand dollars is highly attractive. But the terms of the service agreement are intentionally opaque and difficult for laypersons to understand. The long-term consequences of these agreements are a significant decrease in the value of the property that devastates the victim’s ability to use the proceeds of selling their home to support themselves when they are no longer able to live independently. These predatory practices will inevitably increase pressure on New Hampshire’s limited resources to assist older adults to house themselves. Please prohibit unfair, predatory service agreements in residential real estate transactions. Make these agreements unenforceable, prevent their being recorded, and provide remedies for affected individuals and families. Please support SB164 to protect New Hampshire residents.

This commonsense Bill will protect vulnerable older adults. Thirty states, including Maine and Connecticut have already been this practice.

This is an important consumer protection bill. Please support it.

I support this bill. NO Company has the right to persuaded an individual who maybe struggling socio-economically with cash and then have rights to listing their property in future, for 40 years. this could lead to misrepresentation or even fraudulent behavior to take advantage of individual. please pass this bill to STOP this practice. protect our NH Citizens

New Hampshire residents are lucky that heartless companies have not yet actively marketed “homeowner benefits agreements,” predatory real estate deals in New Hampshire. Do we really want to rely on luck that this continues? These deals target the most vulnerable, the elderly and those facing overwhelming financial problems. Thirty states including our neighbor Maine, have enacted legislation prohibiting these agreements. The market for these predators is shrinking, putting a target on our backs. While some may say we don’t need this bill, let the buyer beware, our legislators are committed to protecting us. Just last year, this committee demonstrated this by passing SB 515 (2024). Please protect NH residents and vote this bill ought to pass. If you have any doubts about why you should, please look at part of this report from Colorado 9News https://www.9news.com/video/money/consumer/steve-on-your-side/coloradans-frustrated-mv-realty/73-ada3b328-8692-45fe-b0b8-de233a819d4c where over 900 people became victim of one of these schemes. Thank you.

As I get older and as over 25% of our citizens in NH are projected to be over 65 in five short years, we need to do everything feasible to protect us against such unfair agreements, which are often complex and difficult for the layperson (never mind an older person with cognitive issues) to understand.

In times of scams seemingly everywhere, a law which would reduce the chance of being scammed seems like a good thing for me.

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