New York City proposes tax on second homes over $5 million
City officials aim to address budget deficits by targeting wealthy property owners. The proposed tax has drawn criticism from some affluent residents. (sources: ft, thehill, businessinsider, gothamist, foxnews)
New York City officials have proposed a tax on second homes valued over $5 million to help address the city's budget deficit. Mayor Zohran Mamdani and Governor Kathy Hochul are collaborating on this initiative.
- The proposed tax targets property owners with second homes in New York City worth more than $5 million.
- Critics, including billionaire hedge fund managers, have expressed concerns about the tax, claiming it unfairly targets wealthy individuals.
- Mamdani has described the notion of wealthy individuals leaving the city over this tax as 'imagined.'
- The tax is part of a broader strategy to address the city's budget challenges.
Why it matters
The proposed tax reflects ongoing discussions about wealth distribution and budget management in New York City.
↓ Why this is on ModernAction
2 bills on this issue are moving right now — and the most active one is Stop Wall Street Landlords Act of 2026.
HR7138 · 119th Congress
Stop Wall Street Landlords Act of 2026
Where do you stand on this bill?
Takes about 60 seconds
About this bill
What HR7138 actually does
This story is about New York City's proposed tax on second homes and wealthy residents complaining about it. This bill would disallow certain tax deductions for large investors and impose an excise tax on sales of single-family homes by those investors.
If passed, it would:
- Disallow deductions tied to large investors' single-family homes • Impose an excise tax on sales by those large investors.
1 other bill moving on this issue
Take action on any of them individually.
This story is about New York City's proposed tax on second homes and wealthy residents complaining about it. This bill would impose excise taxes on hedge funds and covered taxpayers that acquire or hold excess single-family residences and bar certain mortgage-interest and depreciation deductions.
If passed, it would
- Impose excise taxes on hedge funds holding excess single-family homes • Disallow mortgage-interest and depreciation deductions for covered taxpayers.
Top coverage · 6 sources