Renovating and Property Taxes
Can anyone tell me what the impact of a renovation is on your property taxes? For example, if you spend $100K on a renovation is $100k fully added to your assessed value. Are you still controlled by the caps on increases in property taxes over time?
Can anyone tell me what the impact of a renovation is on your property taxes? For example, if you spend $100K on a renovation is $100k fully added to your assessed value. Are you still controlled by the caps on increases in property taxes over time?
OP here. That’s very helpful. Thanks.
No, construction costs are not subject to the caps on assessments. On a 1-3 family, the assessed value cannot go up by more than 20% in 5 years. However, if you file a 100k job with the dob, they will add an additional 6000 to your assessed value right away. This is 6% of 100k. This would mean an immediate increase in taxes of about $1,000 per year. I learned this after I did a big renovation. NYC seems to take you at your word on what you say the costs are. I have poked around in the online records and it looks like most people lie. Someone on my block added 2 stories to their brownstone, redid the house from top to bottom and said it cost 35k. The entire system is crazy.