In a notable move to address growing concerns about contamination related to per- and polyfluoroalkyl substances (PFAS), New Hampshire recently enacted a law obligating real property owners to notify prospective purchasers with a general warning of the potential presence of PFAS due to various sources, including PFAS in domestic, commercial, institutional, and industrial products. House Bill 398, signed into law by Governor Chris Sununu on July 3, 2024, will take effect on January 1, 2025.
Key Provisions of the Law
The new law amends New Hampshire’s statutory code, RSA 477:4-a, to add PFAS to the list of contaminants as to which real property sellers must provide a general notice prior to executing a purchase and sale agreement. The PFAS disclosure will be required for all real estate sales in New Hampshire, regardless of whether the specific property has been confirmed to be contaminated with PFAS. The notification now covers the following list of relatively common contaminants in the State:
- Radon;
- Arsenic;
- Lead; and
- PFAS.
Specifically, sellers (or their agents) must offer the following notification about PFAS to potential buyers, regardless of whether they have PFAS results related to their properties:
PFAS: Poly- and perfluoroalkyl substances (PFAS) are found in products that are used in domestic, commercial, institutional and industrial settings. These chemical compounds have been detected at levels that exceed federal and/or state advisories or standards in wells throughout New Hampshire, but are more frequently detected at elevated levels in southern New Hampshire. Testing of the water by an accredited laboratory can measure PFAS levels and inform a buyer’s decision regarding the need to install water treatment systems.
Implications for Real Estate Transactions
This legislation marks an important step in addressing PFAS concerns in New Hampshire. Given Southern New Hampshire’s noted PFAS issues, the law aims to provide transparency and inform buyers about potential environmental hazards before buying real property. Real estate professionals, property sellers, and potential buyers in New Hampshire should be aware of these new disclosure requirements for compliance purposes. The notification may also lead to increased water testing and potential installation of water treatment systems.
Broader Context of PFAS Regulation
New Hampshire’s law is part of a broader effort to address PFAS contamination in the Granite State. We previously reported on the State’s substantial funding to address PFAS. Another measure includes limiting the sale of certain products with intentionally added PFAS (NH HB1649). Other states may look to New Hampshire’s laws as models for similar disclosure requirements in real estate transactions. Real estate professionals should consequently stay informed about these evolving regulations and their potential impacts on property transactions and environmental liability.