Senate Bill S852

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    852
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                                (PREFILED)
 
                              January 8, 2025
                                ___________
 
 Introduced  by Sens. HELMING, BORRELLO, GALLIVAN, JACKSON, RHOADS, ROLI-
   SON, WEBER, WEIK -- read twice and ordered printed, and  when  printed
   to be committed to the Committee on Housing, Construction and Communi-
   ty Development

 AN  ACT  to amend the real property tax law, in relation to enacting the
   "homebuyer renovation property tax exemption act"
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Short  title. This act shall be known and may be cited as
 the "homebuyer renovation property tax exemption act".
   § 2. Legislative findings. The legislature  finds  that  much  of  New
 York's current housing stock is old and in need of repair, yet often the
 repairs  are  beyond  the  financial capability of many homeowners. This
 bill would give homeowners who  invest  in  their  property  needed  tax
 relief  for  a  period of five years to allow them to recoup the invest-
 ments made in their property and incentivize the revitalization  of  our
 existing  housing stock. This incentive will bring abandoned and dilapi-
 dated homes back to life and  help  expand  the  housing  stock  of  the
 future.
   §  3.  The  real  property  tax law is amended by adding a new section
 421-r to read as follows:
   § 421-R. EXEMPTION FOR RENOVATED HOMES. 1. PRIMARY RESIDENTIAL PROPER-
 TY PURCHASED AFTER THE EFFECTIVE DATE OF THIS SECTION  BY  ONE  OR  MORE
 PERSONS,  WHO  EITHER  AS  PART  OF THE WRITTEN CONTRACT FOR SALE OF THE
 PRIMARY RESIDENTIAL PROPERTY, OR WHO  ENTERS  INTO  A  WRITTEN  CONTRACT
 WITHIN  ONE HUNDRED EIGHTY DAYS AFTER CLOSING OF THE SALE OF THE PRIMARY
 RESIDENCE FOR RECONSTRUCTION, ALTERATION OR IMPROVEMENTS, THE  VALUE  OF
 WHICH EXCEEDS FIFTEEN THOUSAND DOLLARS, TO THE PRIMARY RESIDENTIAL PROP-
 ERTY,  SHALL BE EXEMPT FROM TAXATION LEVIED BY OR ON BEHALF OF ANY COUN-
 TY, CITY, TOWN, VILLAGE OR SCHOOL DISTRICT  IN  WHICH  SUCH  RESIDENTIAL
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD01071-01-5
 S. 852                              2
 
 PROPERTY IS LOCATED FOR A PERIOD OF FIVE YEARS FROM THE DATE OF PURCHASE
 OF  THE  PROPERTY.  SUCH EXEMPTION SHALL APPLY SOLELY TO THE INCREASE IN
 ASSESSED VALUE THEREOF ATTRIBUTABLE TO SUCH RECONSTRUCTION,  ALTERATION,
 OR  IMPROVEMENT.  FOR  THE  PURPOSES OF THIS SECTION, THE PURCHASE OF AN
 APPLIANCE, INCLUDING, BUT NOT LIMITED TO, A  REFRIGERATOR,  OVEN,  DISH-
 WASHER, WASHER, OR DRYER, SHALL NOT CONSTITUTE AN IMPROVEMENT.
   2.  (A)  NO  PORTION  OF  A SINGLE FAMILY PRIMARY RESIDENTIAL PROPERTY
 SHALL BE LEASED DURING THE PERIOD OF  TIME  WHEN  SUCH  EXEMPTION  SHALL
 APPLY  TO  THE  RESIDENCE.  IF  ANY PORTION OF THE SINGLE FAMILY PRIMARY
 RESIDENTIAL PROPERTY IS FOUND TO BE THE SUBJECT OF  A  LEASE  AGREEMENT,
 THE  ASSESSOR  SHALL  DISCONTINUE ANY EXEMPTION GRANTED PURSUANT TO THIS
 SECTION.
   (B) IN THE EVENT  THAT  A  PRIMARY  RESIDENTIAL  PROPERTY  GRANTED  AN
 EXEMPTION PURSUANT TO THIS SECTION CEASES TO BE USED PRIMARILY FOR RESI-
 DENTIAL PURPOSES OR TITLE THERETO IS TRANSFERRED TO OTHER THAN THE HEIRS
 OR  DISTRIBUTEES  OF  THE  OWNER, THE EXEMPTION GRANTED PURSUANT TO THIS
 SECTION SHALL BE DISCONTINUED.
   (C) UPON DETERMINING  THAT  AN  EXEMPTION  GRANTED  PURSUANT  TO  THIS
 SECTION  SHOULD  BE  DISCONTINUED,  THE  ASSESSOR SHALL MAIL A NOTICE SO
 STATING TO THE OWNER OR OWNERS THEREOF AT THE TIME  AND  IN  THE  MANNER
 PROVIDED  BY  SECTION  FIVE  HUNDRED  TEN OF THIS CHAPTER. SUCH OWNER OR
 OWNERS SHALL BE ENTITLED TO SEEK ADMINISTRATIVE AND JUDICIAL  REVIEW  OF
 SUCH  ACTION  IN  THE  MANNER  PROVIDED BY LAW, PROVIDED THAT THE BURDEN
 SHALL BE ON SUCH OWNER  OR  OWNERS  TO  ESTABLISH  ELIGIBILITY  FOR  THE
 EXEMPTION.
   3.  SUCH EXEMPTION SHALL BE GRANTED ONLY UPON APPLICATION BY THE OWNER
 OF SUCH RESIDENTIAL PROPERTY ON A FORM PRESCRIBED BY  THE  COMMISSIONER.
 THE  APPLICATION  SHALL  BE  FILED  WITH THE ASSESSOR OF THE CITY, TOWN,
 VILLAGE OR COUNTY HAVING THE POWER TO ASSESS PROPERTY FOR TAXATION ON OR
 BEFORE THE APPROPRIATE TAXABLE STATUS DATE OF SUCH CITY,  TOWN,  VILLAGE
 AND COUNTY.
   4.  IF SATISFIED THAT THE APPLICANT IS ENTITLED TO AN EXEMPTION PURSU-
 ANT TO THIS SECTION, THE ASSESSOR SHALL APPROVE THE APPLICATION AND SUCH
 PRIMARY RESIDENTIAL PROPERTY SHALL THEREAFTER BE EXEMPT FROM TAXATION AS
 PROVIDED IN THIS SECTION COMMENCING WITH THE ASSESSMENT ROLL PREPARED ON
 THE BASIS OF THE TAXABLE STATUS DATE REFERRED TO IN SUBDIVISION  ONE  OF
 THIS  SECTION.  THE  ASSESSED VALUE OF ANY EXEMPTION GRANTED PURSUANT TO
 THIS SECTION SHALL BE ENTERED BY THE ASSESSOR  ON  THE  ASSESSMENT  ROLL
 WITH  THE  TAXABLE PROPERTY, WITH THE AMOUNT OF THE EXEMPTION SHOWN IN A
 SEPARATE COLUMN.
   5. FOR PURPOSES OF THIS SECTION, "PRIMARY RESIDENTIAL PROPERTY"  MEANS
 ANY  ONE  OR  TWO FAMILY HOUSE, TOWNHOUSE OR CONDOMINIUM LOCATED IN THIS
 STATE WHICH IS OWNER OCCUPIED BY SUCH HOMEBUYER.
   § 4. The commissioner of taxation and  finance  shall  promulgate  any
 rules and regulations necessary to implement the provisions of this act.
   § 5. This act shall take effect January 1, 2026.