Remove 4,700 Homes From NYC Tax Sale, Officials Urge De Blasio
The planned Sept. 4 tax lien sale would imperil homeowners in communities of color, wrote 58 elected officials to Mayor Bill de Blasio.
By Matt Troutman, Patch Staff
Aug 31, 2020 3:23 pm ET
NEW YORK CITY — Fifty-eight elected officials added their voices to a growing chorus of concerns over an upcoming New York City tax lien sale.
The coronavirus crisis isn’t the time to go forward with the planned Sept. 4 tax sale, which includes more than 4,700 small homes, the officials wrote in a letter to Mayor Bill de Blasio on Monday.
“This decision to move forward with the lien sale is especially difficult to comprehend in light of evidence that it inordinately impacts communities of color,” the officials wrote. “The City is far more likely to sell a lien in a majority Black or Hispanic neighborhood than in a majority white neighborhood.”
Attorney General Letitia James sent the letter alongside 57 other elected officials, including City Council Speaker Corey Johnson and Comptroller Scott Stringer.
It comes after another set of elected officials made a similar recent demand by letter. Mayor Bill de Blasio, in response to a Patch reporter’s question last week,declared the tax lien sale would go forward.Subscribe
De Blasio argued the properties had gone into arrears for unpaid debts before the pandemic and the city, which faces a looming budget crunch, could use the funds.
“I believe the dollar figure projected is $57 million — that’s a serious amount of money,” he said.
But advocates and elected officials argued the sale — which sells properties’ debts on taxes, bills and other charges to collectors — would unfairly create burdens primarily on communities of color.
James’ letter argued people of color who borne the brunt of the coronavirus, whether medically or economically, will have to contend with the sale’s onerous terms.
“The outcome of this process is not a mystery: more New Yorkers, many of whom owned their homes outright or benefitted from significant equity, will lose their homes to foreclosure, depriving them of their single most valuable asset and dramatically destabilizing their lives,” the letter states. “Others will be compelled to sell under duress during an undoubted drop in the housing market.”
The letter calls for the city to remove small homes that are three units or fewer from the lien sale and delay it altogether.
“By moving forward with this lien sale, New York City is making an affirmative decision to further destabilize New Yorkers encountering financial hardship in order to enrich private investors,” the letter states. “We strongly urge you to reverse this decision and cancel the lien sale immediately.”
Thursday is the last day New Yorkers can pay off debts and have properties removed from the sale.