Bill > S00574

This bill establishes the "End Toxic Home Flipping Act," which imposes a new tax on the transfer of residential properties (1-3 units) that are sold within two years of a previous sale. The tax is calculated based on the difference between the current and previous sale prices: 65% tax if sold within one year, and 50% tax if sold between one and two years. The bill includes several exemptions, such as property transfers to family members, properties sold due to financial hardship, properties transferred after an owner's death, new housing, properties with minimal price increases, properties transferred during foreclosure, and those already exempt from real property transfer taxes. The tax is specifically applied in New York City and is designed to discourage rapid property flipping, which can contribute to housing market instability. The act will go into effect 90 days after becoming law, and includes a severability clause ensuring that if any part of the law is found invalid, the rest of the law remains in effect.

Government Affairs

https://www.nysenate.gov/legislation/bills/2025/S574