Newly constructed primary residential property
purchased by one or more persons, each of whom is a first time homebuyer,
meeting the application, ownership, residency, income, use and other
pertinent requirements of § 457 of the Real Property Tax
Law, shall receive an exemption from City property taxed in accordance
with the following schedule:
Year of Exemption
|
Percentage Assessed Valuation Exempt From
Tax
|
---|
1
|
50%
|
2
|
40%
|
3
|
30%
|
4
|
20%
|
5
|
10%
|
6 or more
|
0%
|
For purposes of this exemption:
FIRST-TIME HOMEBUYER
A person who has not owned a primary residential property
and is not married to a person who has owned a primary residential
property during the three-year period prior to his or her purchase
of primary residential property, and who does not own a vacation or
investment home.
NEWLY CONSTRUCTED
An improvement to real property which was constructed as
a primary residential property, and which has never been occupied
and was after November 28, 2001, and shall also mean that a portion
of a primary residential property that is altered, improved or reconstructed.
PRIMARY RESIDENTIAL PROPERTY
Any one- or two-family house, townhouse or condominium located
in this state which is owner occupied by such homebuyer.
A first-time homebuyer who either as part of
the written contract for sale of the primary residential property,
or who enters into a written contract within 90 days after closing
of the sale of the primary residence for reconstruction, alteration
or improvements, the value of which exceeds $3,000, to the primary
residential property shall be exempt from taxation to the extent provided
above. However, such exemption shall apply solely to the increase
in assessed value attributable to such reconstruction, alteration
or improvement, provided that the assessed value after reconstruction,
alteration, or improvements does not exceed 15% more than the purchase
price limits defined in § 457(2)(a) of the Real Property
Tax Law. The terms reconstruction, alteration and improvement shall
not include ordinary maintenance and repairs.
Such exemption shall be granted only upon application
by the owner of such building on a form prescribed by the New York
Board of Real Property Services and filed in the assessor's office
on or before May 1.
A first-time homebuyer shall not qualify for
this exemption if the household income exceeds income limits as defined
on January 1, 2002, by the State of New York Mortgage Agency low-interest-rate
mortgage program in the nontarget, one- and two-person household category
for Madison County.