Small-homeowners cheering that there were no tax increases in the city’s new $66 billion budget are in for a rude shock — their property taxes are going up an average of $267 to nearly $4,000.
Blame the complicated state formula that dictates what percentage of the property tax must be paid by small-homeowners, compared to those in three other property classes: office buildings, utilities and apartment houses/co-ops/condos.
This year, the burden allocated to “Class 1” — one-, two- and three-family homes — increased from 15.0922 to 15.7612 percent.
Since assessments also went up by 2.65 percent, the average home valued at $527,614 with taxes of $3,698 was headed for an increase to $4,065.
But, as it does most every year, the City Council stepped in to ask Albany to lower the burden for the 702,059 Class 1 owners.
Officials said that would reduce the final hit from $367 to $267 on average.