NAHANT — The Town and a federal agency are in a tussle over an historic Little Nahant Road home, with both sides saying they are owed money from financial agreements struck with the property’s former owners.
With its distinctive five-story tower and wraparound porch, 9 Little Nahant Road was home to Constantine and Marianna Agnes Beck-Pezaris until the couple died in their 90s in 2019.
Like many older couples, the Pezaris’ made ends meet by applying for and getting a deferral in their property tax payments to the Town and obtaining a reverse mortgage allowing them to use their home, in effect, as an income source.
The tax deferment spanned 24 years, said Town Administrator Antonio Barletta, and totaled $400,000. But the reverse mortgage amount is in excess of $1 million. Arranged originally with a private lender, the reverse mortgage was passed through other lenders and ended up with the federal Department of Housing and Urban Development (HUD) in 2013.
The house is listed with realtors, including Coldwell Banker and Compass, for $1.1 million, according to real estate websites updated for April. HUD and the Town want to recover their money from the sale, but the possibility exists that only one side will be made entirely whole.
The Town is arguing it should be able to collect the full amount of the deferral since it was arranged with the Pezaris’ long before HUD took possession of the reverse mortgage.
“It’s not the intent of the law, we feel, to prioritize a reverse mortgage over the Town,” Barletta said.
The Board of Selectmen met last Wednesday in closed-door executive discussion to consider, according to the board’s agenda, “impending litigation against HUD” by the Town to pursue its efforts to recover the $400,000.
“I expect to recoup all that is owed,” said Board recording secretary Mark Cullinan.
Beyond its sale value as a resource for recovering taxes, Barletta said the Town’s interest extends to 9 Little Nahant Road’s historic value.
Once owned by educator and author Edward Gardiner Howe, the house was built in 1870 and enjoys a commanding view of Nahant Bay.
“Hopefully the property sells for enough money so that we are not negotiating over how much money we can get,” Barletta said.
