Pied-à-Terre Tax Calculator

New York City now taxes second homes. If you keep a place here — a pied-à-terre, an investment property, a base for part of the year — and your primary residence is somewhere else, this applies to you. Here's what it is, what it costs, and what to do about it.

First: check your mail

The city is sending letters right now to owners it believes owe the tax. Yours shows the city's value for your home and the amount due. Many letters went out in error — including to full-time residents and to homes below the threshold.

If you received one, don't set it aside. The city assumes you owe unless you prove otherwise. Respond through the link and PIN on your letter by September 18, 2026. If your building is a co-op, the letter went to your board — call your managing agent instead.

What it costs

The tax is annual, and it's based on the city's official value for your home — not what you paid, and not what it would sell for today.

Condos & co-ops:

• $1M–$3M city value: 4% a year
• $3M–$5M: 5.25% a year
• Over $5M: 6.5% a year

Townhouses and 1–3 family homes:

• $5M–$15M: 0.8% a year
• $15M–$25M: 1.05% a year
• Over $25M: 1.3% a year

One catch worth knowing: cross a threshold and the rate applies to your entire value, not just the part over the line. And in mid-2028 the rules reset — every property type moves to a $5M threshold at the lower rates, under a new valuation method closer to true market value.

What you'd owe

First, find the city's value for your home. Three ways:

• Search your address on the city's NYC Property Information Portal and use the market value it shows.
• Or check the "market value" line on your Notice of Property Value or latest property tax bill.
• Or simply send me the address — I'll pull it for you the same day.

Then find the row closest to your number.

Condos & co-ops:

• $1,000,000 → $40,000 a year ($3,333/mo)
• $1,500,000 → $60,000 a year ($5,000/mo)
• $2,000,000 → $80,000 a year ($6,667/mo)
• $2,500,000 → $100,000 a year ($8,333/mo)
• $3,000,000 → $157,500 a year ($13,125/mo)
• $4,000,000 → $210,000 a year ($17,500/mo)
• $5,000,000 → $325,000 a year ($27,083/mo)
• $6,000,000 → $390,000 a year ($32,500/mo)
• $8,000,000 → $520,000 a year ($43,333/mo)
• $10,000,000 → $650,000 a year ($54,167/mo)

Townhouses and 1–3 family homes:

• $5,000,000 → $40,000 a year
• $7,500,000 → $60,000 a year
• $10,000,000 → $80,000 a year
• $15,000,000 → $157,500 a year
• $20,000,000 → $210,000 a year
• $25,000,000 → $325,000 a year
• $30,000,000 → $390,000 a year

Below $1M for condos and co-ops — or $5M for houses — you owe nothing.

Why your number is probably lower than you think

The city's value is not the market's. For condos, and especially co-ops, it's often a fraction of what your home would actually trade for. A co-op worth $4M on the market can sit below the $1M line and owe nothing at all. Before you assume the worst, look up the number.

Three ways to not pay it

You're exempt if the home is the primary residence of you or an immediate family member. You're also exempt if you lease it to someone who lives there full-time, on an arm's-length lease of at least one year — which lets you keep the asset, collect rent, and skip the tax entirely. Each path requires documentation: government ID and a recent tax return, or the lease plus proof your tenant actually lives there.

Buying — or deciding whether to keep?

For buyers, this tax is now part of the real price of a New York second home, and worth modeling before you offer. For owners, there are three honest options: lease it for a year and qualify for the exemption, sell into a market where other owners will be doing the same, or hold and pay. The right call depends on your number, how you use the home, and your timeline.

Tell me about your property below and I'll send you a clear picture: what you'd owe now, what changes in 2028, and which option actually makes sense for you.

General information, not tax or legal advice. Your liability depends on the city's determinations and your circumstances — for filings and appeals, work with a qualified tax professional or attorney. I'm happy to make introductions.