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New York City Luxury Home Buyers to pay additional Tax

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New York City home buyers will pay additional transfer taxes on multi-million-dollar purchases beginning in July, as lawmakers aim for new revenue sources to repair and improve the city’s rundown subway system. State lawmakers passed the tax hike on Monday as part of New York’s 2019-20 budget. It marks an unofficial compromise between the state and real estate industry stakeholders, who have urged elected leaders against passing a proposed annual “pied-a-terre” tax, which was gaining traction. The increased transfer tax is expected to worsen the cool down in New York City’s real estate market, where prices have declined 10% to 12% over the past two years, some industry professionals said.

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