New York 2025-2026 Regular Session

New York Senate Bill S00574

Introduced
1/8/25  
Refer
1/8/25  

Caption

Establishes the end predatory home flipping act; imposes a tax on the transfer of certain residential properties which are sold within two years of the prior conveyance of such property; exempts certain purchases of residential properties from mortgage recording taxes; imposes a tax on the transfer of certain properties in the city of New York which are sold for one million dollars or more.

Summary

S00574 would create a new New York City transfer tax aimed at discouraging rapid resale of small residential properties, branded in the bill as the “end toxic home flipping act.” It applies to one- to three-unit residential properties that are transferred again within two years of the prior conveyance, including cash sales and properties that were rented during that period. The tax is imposed on the grantor at a steep rate tied to the gain on the sale: 65% of the difference between the current and prior sales price if the property is resold in less than one year, and 50% if resold after one year but before two years.

Impact

The bill would amend the Administrative Code of the City of New York by adding a new section that layers an additional city transfer tax on short-term resales of qualifying residential property. It would affect sellers of one- to three-family homes in New York City, while carving out exemptions for transfers to family members, hardship cases, transfers after the owner’s death, new housing, low-gain sales, foreclosure-related transfers, and other already-exempt transactions. By targeting quick resales, the bill would change the economics of house flipping and could reduce speculative activity in the city’s residential market.

Sentiment

The bill’s framing and sponsorship suggest a strong policy preference for curbing predatory or speculative home flipping and protecting housing affordability. The available record does not include committee debate or recorded votes, so there is no documented opposition or support from hearings or floor action in the provided materials. Based on the text alone, the measure appears designed to appeal to housing advocates and anti-speculation policymakers.

Contention

The main likely point of contention is whether the tax would deter harmful speculation without also penalizing legitimate sellers, small investors, or homeowners who need to move quickly. The bill attempts to address this by creating exemptions for family transfers, hardship situations, deaths, new housing, and foreclosure-related transactions, but the high tax rates and the broad reach to rented properties could still draw criticism. Another possible issue is administration and valuation, since the tax depends on comparing the current sale price to the prior conveyance price and determining whether a transaction falls within the two-year window.

Companion Bills

NY A00342

Same As Establishes the end predatory home flipping act; imposes a tax on the transfer of certain residential properties which are sold within two years of the prior conveyance of such property; exempts certain purchases of residential properties from mortgage recording taxes; imposes a tax on the transfer of certain properties in the city of New York which are sold for one million dollars or more.

Previously Filed As

NY A00342

Establishes the end predatory home flipping act; imposes a tax on the transfer of certain residential properties which are sold within two years of the prior conveyance of such property; exempts certain purchases of residential properties from mortgage recording taxes; imposes a tax on the transfer of certain properties in the city of New York which are sold for one million dollars or more.

NY S01569

Establishes the end toxic home flipping act; imposes a tax on the transfer of certain residential properties which are sold within two years of the prior conveyance of such property; exempts certain purchases of residential properties from mortgage recording taxes; imposes a tax on the transfer of certain properties in the city of New York which are sold for one million dollars or more.

NY A01023

Establishes the end toxic home flipping act; imposes a tax on the transfer of certain residential properties which are sold within two years of the prior conveyance of such property; exempts certain purchases of residential properties from mortgage recording taxes; imposes a tax on the transfer of certain properties in the city of New York which are sold for one million dollars or more.

NY S1516

"End Hedge Fund Control of New Jersey Homes Act"; imposes tax on certain investment purchases of certain residential properties.

NY HSB271

A bill for an act establishing a partial exemption on property taxes for certain residential properties sold in disaster areas.

NY HF2341

A bill for an act establishing a partial exemption on property taxes for certain residential properties sold in disaster areas.

NY H5752

Imposes a property tax on non-owner occupied residential properties assessed worth at one million dollars ($1,000,000) and less than two million dollars ($2,000,000) and a higher tax on properties assessed at two million dollars ($2,000,000) or more.

NY A03284

Establishes a tax on certain vacant residential properties in the city of New York; provides exemptions for certain vacant properties.

NY HF565

A bill for an act establishing a partial exemption on property taxes for certain residential properties sold in disaster areas.(See HF 1013.)

NY HF1013

A bill for an act establishing a partial exemption on property taxes for certain residential properties sold in disaster areas.(Formerly HF 565.)

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