New York Lawmakers Near Vote on Tax for Secondary Homes Over $5 Million

New York state lawmakers are finalizing a budget that includes a tax on secondary single-family homes valued at $5 million or more, according to Bloomberg. The legislature is scheduled to vote on the measure Wednesday, with the tax potentially taking effect July 1.

3% during the same period. 3% for homes above $25 million.

Property owners would receive notice by August 30 and could contest their inclusion. Primary residents of New York City, immediate family members living in the properties, and units leased as rentals would be exempt. The market value used for the tax differs from assessed value used for standard property taxes.

Gov. Kathy Hochul’s office has stated that a $1 million market value corresponds to roughly $5 million in sales value, though The New York Times reported the gap is often larger.

Mamdani proposed the tax last month outside hedge fund manager Ken Griffin’s New York City penthouse. ” Gov. Hochul has estimated the measure would raise $500 million. 7 billion, have criticized the proposal. Griffin said it could jeopardize a $6 billion expansion his firm is considering in the city. Trump stated that losing residents like Griffin would be a loss for New York.