New York real estate prices plummet after state cuts funding
NYT: NY Real Estate Prices Collapse After State Cut Funding article NY TIMES: New York Real Estate prices plummet following state cuts article New York state is cutting funding to the National Association of Realtors after a three-year run-up in real estate price growth and some experts predict more state tax revenue will be needed to cover rising costs.
The association said it has lost $6.8 million in revenue from the state’s tax base since 2011, the most recent year for which figures are available, but that the state has no way to ensure its tax revenue won’t drop again.
The state has been hit hard by the recession, with the median home price dropping 15 percent in the last two years, the New York Times reported.
The recession has also hit the state hard.
The median home value in the state is down 7 percent in real terms since last year.
But the state still had the nation’s third-largest home-price growth rate in the first quarter of 2017.
New York’s property tax levy is set to grow again next year, but lawmakers have been reluctant to extend the current tax cycle to allow for a gradual increase in revenue to cover the rising cost of property taxes.