[dirtikiti]

No, the goal is to overhaul the property tax system.

This is going to raise property taxes for everyone.

The ultra wealthy can just pack up and move. It doesn't affect them in the slightest.

But in two years when the property tax overhaul is complete, the middle class will foot the bill. As per usual.

[nkohari]

Can you explain how that would happen? This tax is limited to second homes only.

[dirtikiti]

this is literally a cover to overhaul the property tax assessment system in New York.

https://www.msn.com/en-us/money/companies/new-york-passes-ma...

"While the tax seems large, experts say the city's antiquated assessment and valuation system dramatically undervalues properties, reducing the burden. City valuations can often be 10% or less of the true market value, they said.

Rather than overhaul the system immediately, the city will gradually update valuations – and the tax – according to the budget documents. Starting in the 2028-2029 tax year, the property values will be based on comparable sales. Since valuations will skyrocket, the tax rates will fall to compensate."

this is, at minimum, a 10% increase in ALL property taxes. And the people most affected will be the lower and middle class.

[ethbr1]

>> City valuations can often be 10% or less of the true market value

> this is, at minimum, a 10% increase in ALL property taxes

If they're ~10x'ing the erroneously low valuation to true them to market value, then that would be more than a 10% increase.

>> Since valuations will skyrocket, the tax rates will fall to compensate

But as the article points out, this is an expected outcome and will be blunted by subsequent tax rate decreases.

All things equal, undervaluing properties for tax purposes isn't fair, although it may be politically (corruptly) popular.

[dirtikiti]

>>But as the article points out, this is an expected outcome and will be blunted by subsequent tax rate decreases.

the tax rate decrease will be on the multi-million dollar homes.

not on the new property tax valuations of everything else.

[queenkjuul]

That literally has nothing to do with the pied-a-terre tax. The assessment process is not related to taxing second homes. Each can be done with or without the other.

[iririririr]

it will just make rent higher.