- NYC’s tax lien sale outsources the collection of unpaid property taxes and other housing bills
- There are exemptions if you are a senior, veteran, or have a disability as well as payment plans
The Abolish the NYC Lien Sale Coalition, a group of 10 housing advocacy groups and community land trusts, is sounding the alarm about the harms perpetuated by tax lien sale and multiple options that owners can use to remove themselves from the tax lien sale list. The group is holding community briefings to get the word out; the next one is scheduled for April 3rd at 6 p.m.
The coalition was successful in getting legislative reforms passed in the City Council last year to reduce the list. For example, households that make less than $107,300 in 2025 can now use the Easy Exit form to have the property removed from the lien sale three times in 36 months.
Other new options include deferring city debt or making income-based payments through Property Tax and Interest Deferral Programs (PT AID) as well as the senior citizen homeowners exemption (SCHE), disabled homeowners exemption (DHE), veterans exemption, or not-for-profit exemption.
Ultimately, the coalition wants the lien sale to be abolished.
“We’ve been shrinking the lien sale. My hope is that the city thinks eventually that it’s not worth it, but I’m not holding my breath,” said Paula Segal, senior staff attorney in the Equitable Neighborhoods practice at TakeRoot Justice, during a recent community presentation.
In a phone conversation with Brick, Segal noted that Mayor Adams was bringing back the lien sale after four years, even though the city could have created a new system for debt collection instead of outsourcing the process again and making money for investors. His budget office estimates bringing in $80 million each year over the next four years from the lien sale.
“Peanuts,” Segal said.
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