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| Economy |
| Doomsday for many NYNY landlords is this Tuesday. |
| 2020-11-03 |
| [NY Post] New York is about to kill a whole lot of landlords Gov. Andrew Cuomo and President Trump made sure to protect tenants by banning evictions during the pandemic, but public officials have done almost nothing for property owners. That’s inviting disaster. Many of these landlords, particularly mom-and-pop small-building owners, have been struggling for months to make ends meet as the COVID crisis drags on. Thousands of tenants haven’t paid full rent. Others, looking to escape the virus, violent crime and plunging quality of life, have fled, pushing up the vacancy rate and forcing owners to grant concessions. Meanwhile, landlord bills — including property taxes and water and sewage fees — have mounted, without letup. Cleaning and other costs have actually soared, thanks to the pandemic. The latest nightmare: an upcoming tax-lien sale, where the city sells owners’ unpaid tax bills to a third party, which then moves to collect on them, along with 18 percent interest charges. Waves of foreclosures may soon follow. Cuomo had placed a moratorium on lien sales, but it expires Tuesday. That could spell doomsday for owners on the hook. And not just small landlords, but also owners of private homes as well. Anyone who recalls the housing-market horrors of the 1980s knows where this is headed: landlords unable to do basic maintenance, some ditching properties altogether. Decaying and abandoned buildings spreading urban blight. The city taking possession of vacant buildings — which takes them off the tax rolls, depriving it of vital revenue. The prospect has pushed some owners and real estate advocates to call for a halt to landlord-debt sales altogether. “If the City Council doesn’t end tax liens,” warns Rent Stabilization Association president Joe Strasburg, the “housing crisis of the 1980s will pale in comparison.” No one “will be spared.” And New York’s “property-tax base, the city’s top revenue producer, will come crumbling down.” Yes, the city needs a way to collect taxes it’s owed. But those levies can eat up as much as 50 percent of a landlord’s income. That’s not sustainable even in good times. Landlords need relief. If they don’t get it soon, they won’t be the only ones to suffer Related: Andrew Cuomo: 2020-11-01 Travelers to New York must quarantine for three days, then get coronavirus test Andrew Cuomo: 2020-10-31 Meet the state trooper who got transferred for dating Gov. Cuomo's daughter Andrew Cuomo: 2020-10-30 State trooper dates Cuomo's daughter, gets transferred close to Canada |
| Posted by:3dc |
| #7 How are REITs doing. Been working too much to check. |
| Posted by: Vespasian Ebboting9735 2020-11-03 13:42 |
| #6 Good luck following the money but you can bet the best foreclosed properties will be scooped up for pennies on the dollar by politically connected. |
| Posted by: Glenmore 2020-11-03 13:08 |
| #5 Some people say it's pretty cool if you have LOTS of money. But with the pandemic, I don't hear anybody with anything good to say about it. |
| Posted by: Abu Uluque 2020-11-03 13:07 |
| #4 Who'd live in NYC if they didn't have to? |
| Posted by: g(r)omgoru 2020-11-03 12:03 |
| #3 Watch for a Soros type to swoop down and buy whole blocks of these properties so that, if and when the pandemic ends, small owners are gone and super landlords rule. They'll have their tenants by the short hairs. |
| Posted by: Abu Uluque 2020-11-03 11:20 |
| #2 How can you charge a property tax when you've closed the property and made the property less valuable. I'm all for title taxes (as im a capitlaist not a socialist) but they MUST be related to title value created by the state. i.e. the great value of property taxes to the state is telling them what they are doing is harmful to them as well as the serfs.... |
| Posted by: Bright Pebbles 2020-11-03 07:45 |
| #1 I guess the NY Gov did not think that one all the way thru either. With NO Rent money coming in how will building upkeep and repairs be made? With NO Rent Money coming in how will the money for property taxes be collected to pay NY/NYC? |
| Posted by: NN2N1 2020-11-03 05:28 |