The Invisible Engine

Real Estate Related Taxes (RERT) accounted for more than 50% of City Tax Collections for 8 straight years.

Keeping New York City running is a tall order: New York City’s FY 2023 Adopted Budget totals $101 billion. This report highlights the critical role of the real estate sector to the City’s tax base. Real Estate Related Taxes (RERT) are the single largest source of tax collections by the City of New York. As detailed in the following sections, RERT flow from multiple sources in terms of types of taxes, property types and geography. RERT – ranging from property assessments, transfer taxes, and mortgage taxes, to commercial rent taxes and hotel occupancy – all tap into New York City’s deep and diverse real estate sector. What's more, taxes collected from RERT contribute to more than just the City’s General Fund, providing essential funds to the region’s transit system.

This report is intended to serve as a guide for policymakers, stakeholders and the public to understand the multitude of ways real estate supports City expenditures as well as support the operations of the MTA, the lifeblood of the region’s economy.