Gov. Kathy Hochul has signed legislation that increases the real property tax relief local governments may offer to senior homeowners, raising the maximum allowable exemption for eligible residents for the first time in decades.
The measure, S5175A/A3698A, authorizes cities, towns and villages to provide property tax exemptions covering up to 65 percent of a home’s assessed value for seniors who meet local income limits and other eligibility requirements. Previously, localities could offer exemptions of no more than 50 percent. State officials said the increase could translate to as much as $300 in annual savings for the average senior if adopted by a local government.
Hochul said the goal of the legislation is to help older New Yorkers remain in their homes as housing costs rise. “No New York senior should lose their home because they can no longer afford their property taxes,” she said in a statement. “By signing this legislation, we are working to make New York more affordable for our seniors on fixed incomes and empowering them to age in place, at home, in the communities they know and love.”
The change could have broad impact across the state. The New York State Office for the Aging estimates that more than 1.8 million older adults own their homes. Greg Olsen, NYSOFA’s acting director, said property taxes are a significant burden for residents living on fixed incomes. “This important law will continue to help older adults remain in the homes and communities of their choice and keep their vast contributions within New York State,” he said.
Lawmakers who sponsored the bill said the higher exemption level reflects the economic pressures seniors are facing. State Sen. Leroy Comrie said many older adults are grappling with rising housing costs and inflation. “Signing S5175A into law is an important step toward restoring real affordability for older adults across New York,” Comrie said. “This law allows localities to offer up to a 65 percent discount to eligible seniors so long-time homeowners can remain in their communities with dignity and security.”
The measure builds on Hochul’s broader affordability agenda, which includes a middle-class tax cut affecting an estimated 8.3 million New Yorkers and bringing tax rates to their lowest levels in 70 years. Her administration has also expanded the Child Tax Credit to provide up to $1,000 per child under age 4 and up to $500 for school-aged children beginning in 2026. Other recent initiatives include inflation refund checks — up to $200 per person or $400 per family — issued to more than 8 million residents, and statewide free breakfast and lunch for all K-12 students, which officials say can save families up to $1,600 per child each year.
