Just a year after budget watchdogs warned of a “budget crisis” that would leave New York $16 billion short this fiscal year, the state finds itself with ample cash, thanks in part to New York City’s red-hot housing market.
New revenue figures, which project to balance the state budget through fiscal year 2025, benefit the industry as well by reducing the likelihood that New York will raise taxes on real estate. Proposed levies on mezzanine lending and pied-à-terre ownership have been on the table for two years.
As of September, tax receipts from the state’s general fund surpassed estimates by $7 billion, pushing revenue $4 billion above expectations for the current fiscal year, according to a report released by Gov. Kathy Hochul and state budget director Robert Mujica. October results show “no signs that the flow is abating.”
The report highlighted the “stronger than expected…