Press Release
New York Renters and Homeowners Want Property Tax Reforms Now
New survey finds that Land Value Taxation has majority support statewide
NEW YORK, NY — The Community Service Society of New York (CSS), in partnership with the Progress and Poverty Institute, the Center for Land Economics, and the Fiscal Policy Institute, today released a new brief, NY Renters and Homeowners Want Property Tax Reforms Now. Drawing on CSS’s 2025 Annual Survey of Housing and Economic Security, the report finds that New Yorkers across the state are calling for a fundamental shift in how property is taxed to address the state's affordability crisis.
The report demonstrates broad public support, both city and statewide, for property tax reform, and specifically singles out the authorization of Land Value Taxation (LVT) as done in bill A.3339B/S.1131B. An LVT shifts the property tax burden from the building to the land, leading to more fairness and efficient use of precious high-value space. The survey results are a clarion call for state policymakers and City Hall to finally address the fifty years of NYC overtaxing tenants and low-income communities of color.
Key Findings
- Majority Support for Land Value Tax (LVT): Fifty-two (52) percent of New Yorkers statewide support shifting the tax burden from buildings to land value to discourage speculation and encourage housing construction. When excluding "unsure" respondents, support for LVT exceeds 80 percent across the state.
- Widespread Perception of Inequity: New Yorkers across income levels and housing tenures view the current system as unfair. Notably, 51 percent of higher-income residents and 59 percent of Manhattanites—the primary beneficiaries of current condo/co-op valuation loopholes—support reforming those assessments to ensure high-value units pay their fair share.
- Renters Recognize the "Hidden Tax": Ninety-three (93) percent of market-rate renters in NYC understand that property tax increases are passed on to them by landlords. This underscores that property tax reform is not just a homeowner issue but a critical factor in renter affordability.
This survey brief builds off the findings of the March 2025 joint report, Footing the Bill, which documented how New York City's tax structure has historically overtaxed tenants and low-income communities of color while allowing land speculators to remain lightly taxed. While previous attempts to overhaul the system have stalled under previous administrations, Mayor Zohran Mamdani campaigned on addressing inequities in the city’s property tax structure. Against this backdrop, and with Albany seeking to address affordability for everyday New Yorkers, the authorization of a Land Value Tax—and other changes—represents a shift away from structural features where speculators win while working families pay the bill.
Key Recommendations
- Authorize Land Value Taxation (Bills A3339B / S1131B): Grant New York City and other municipalities the legal authority to tax land at a higher rate than improvements to incentivize the development of vacant or underused lots, making housing more affordable for renters, and bring relief to middle class homeowners.
- Repeal Section 581(1)(a) of the RPTL: Eliminate the "valuation ceiling" that requires condominiums and co-ops to be assessed as rental properties rather than at their actual market value, a practice that currently results in massive tax breaks for luxury units.
- Expand the Renter’s Tax Credit: Establish a meaningful, refundable tax credit for rent-burdened tenants to bring their relief to parity with programs currently available to homeowners.
“A split rate or land value tax strategy could be a great tool to deliver tax fairness and promote economic development. By giving municipalities the freedom to implement this type of tax, we can spur the construction of housing that we desperately need in a way that promotes the highest, best use of land - building the type of walkable, affordable, thriving communities we want to see,” said New York State Senator Rachel May. “We see new housing pressure, especially in Syracuse, with rising rents and increased homelessness. At the same time, we see vacant or underused lots in high-demand areas, which increases the tax burden on homes in residential neighborhoods. By passing this bill this year we can give municipalities the chance to rethink property taxes, delivering relief and economic growth. Thank you much to CSS and partners for writing this great brief to highlight the support for and potential of property tax reform.”
"New York faces an affordability crisis and our current tax system penalizes housing construction and rewards land speculation, driving up rents and forcing people out of our state,” said New York State Assemblymember Alex Bores. “With study after study confirming that the poorest New Yorkers bear the brunt of our broken system, it’s time for a change. Land value taxes should be a large part of the solution."
“For more than a decade CSS has used polling to track the needs and opinions of poor and working-class families and the impacts of New York’s policies on them,” said David R. Jones, CSS President and CEO. “With this most recent survey, we have as a state, for the first time, a real understanding of not only how property tax systems are impacting residents—from their point of view—but also what solutions they’d like to see advanced.”
"Across the country, states are considering revenue-neutral land value tax reforms as a pragmatic way to ease rental pressure while working families struggle with rising housing costs. Shifting taxes from buildings to land discourages speculation and puts underused land to work for the public good,” said Greg Miller, Co-Founder & Executive Director for Center for Land Economics. “This polling by CSS-NY confirms that New York renters and homeowners alike recognize the importance of smart tax policy that returns the value of land to the communities that create it."
"New York is a city of renters and apartments, so it is unfair and absurd that it overtaxes towers and under taxes single family homes,” said Stephen Hoskins, Director of Community Research & Engagement at the Progress and Poverty Institute. “NYC should flip that script with a land value tax, which taxes land speculators while rewarding the condos and coops that keep New York affordable."
“Property tax reform that ensures economic justice must be a key priority for City and State lawmakers. Further, we must reform the property tax system to incentivize the development of new and high-quality housing options for people all across the income distribution,” said Emily Eisner Acting Executive Director and Chief Economist Fiscal Policy Institute. “This report demonstrates that New Yorkers all across the state can see and feel that the current property tax system has not achieved these two goals. It’s past time to improve the progressivity of the property tax system and build a system that serves all New Yorkers, not just the most affluent."
“In order to address our affordability crisis, we must build more housing and ensure we aren’t overtaxing tenants. A Land Value Tax would discourage real estate speculation and encourage building the housing that New Yorkers desperately need,” said Annemarie Gray, Executive Director of Open New York. “Our property tax system should not overtax tenants just because they don't see the tax bill—the cost is still passed on through higher rents. We must implement a fairer and more equitable property tax system as part of an all-of-the-above approach to solving our housing shortage."
“From Canarsie to Rosedale, East NY to Washington Heights, the inequity in NYC’s property tax system is no secret,” said Iziah Thompson, CSS Senior Policy Analyst and author of the report. “For decades, middle class homeowners, mostly of color have born the brunt of this inequity, but reforms have stalled. Now, we are in a moment where renters are more conscious than ever of the costs of rental properties incur and how those costs can impact their rents. This realization makes it possible to build a strong coalition of renters and homeowners who can organize and fight to finally win property tax fairness.”
The Community Service Society of New York (CSS) has worked with and for New Yorkers since 1843 to promote economic opportunity and champion a more equitable city and state. We power change through a strategic combination of research, services, and advocacy to make New York more livable for people facing economic insecurity. www.cssny.org