New York City's New Second-Home Annual Tax
New York State has enacted a phased Second-Home Annual Tax on certain high-value New York City residential properties that are not used as primary residences. The tax is scheduled to take effect on July 1, 2026 and may affect owners and prospective purchasers of second homes, pied-à-terres, investment properties, condominiums, cooperatives, and one- to three-family homes.
Key Highlights
- Effective July 1, 2026
- Applies to certain NYC residential properties that are not primary residences
- Phase 1 runs from July 1, 2026 through June 30, 2028
- Phase 2 begins July 1, 2028
- Primary residences may be exempt under certain occupancy requirements
- The tax is currently scheduled to sunset after June 30, 2031 unless extended or replaced
Download the REBNY Guide
The REBNY resource provides a detailed overview of:
- Tax thresholds by property type
- Phase 1 and Phase 2 implementation
- Valuation methodologies
- Primary residence exemptions
- Tax calculation examples
- Frequently asked considerations for property owners and purchasers
