NYC Final Property Tax Rates for 2025/26

Today, the City Council set the final property tax rates for tax year 2025/26. These new rates, along with the previous year’s rates and changes, are as follows:

Note: One basis point (bp) is equal to 0.01%. An increase of 86 basis points means the tax rate for Class 4 Properties has increased by 0.86 percentage points.

Of note is the tax class 4 rate is the highest rate in 19 years since tax year 2006/07 when it was 10.997%. Also, the tax class 1 rate is the lowest rate in 10 years since tax year 2015/16 when it was 19.554%.

The NYC Department of Finance will send updated tax bills in November 2025 reflecting these new rates, for payment due January 1, 2026. The new rates will be retroactive to the start of the tax year, July 1, 2025, and cover the tax year through June 30, 2026.

Background

On June 30, 2025, the City Council set interim 2025/26 property tax rates. These rates were based on the statutory Class Shares Cap of 5%. See my previous coverage here: New York City Property Tax Levy and Rates for Fiscal Year 2026

On October 27, 2025, Governor Hochul signed into law Chapter 487 of 2025 to enable the City Council to reduce the Class Shares Cap below 5%. See my previous coverage here: Proposed Albany Bill Would Let NYC Choose a Lower Class Share Cap for FY 2026.

On October 29, 2025, the City Council met to revise the tax rates using a 1% Class Shares Cap. This revised Cap shifted taxes from classes 1 and 3, to classes 2 and 4, which was intended to benefit 1- to 3-family homeowners.

For reference, last year, for tax year 2024/25, the City Council set a 0.9% Class Shares Cap. See my previous coverage here: New York City Council Approves Property Tax Rates for Fiscal Year 2024/25

DOF maintains historical tax rates at: Property Tax Rates