New York Rental Portfolio Guide
What you need to know before building or growing a rental portfolio in New York — property tax burden, state income tax, security-deposit rule, source-of-income law, and the metros that actually cash-flow after accounting for local taxes.
Tax burden on New York rentals
Property tax
1.40%
effective rate on median home value
At 1.40% effective, the property tax burden is above the national median (rank 39 of 51). Bake the full annual tax bill into every underwrite; a 2% effective rate on a $400K home is $8,000 a year that has to come out of rent before mortgage.
State income tax
10.90%
top marginal rate
A top marginal rate of 10.90% is high nationally. Rental portfolio income at scale takes a significant state hit on top of federal, so serious operators lean hard on depreciation, cost segregation and 1031 deferral. Long-term hold economics reward staying under the top bracket where possible.
Security deposit rule
State law caps security deposits at 1 month' rent (with the qualifier noted below). Charging above the cap exposes the landlord to statutory damages in most states, so build lease templates that respect this ceiling from day one.
Note: Housing Stability and Tenant Protection Act 2019
Deposit rules change; verify current statute before drafting a lease.
Best cash-flow markets in New York
Modeled monthly cash flow on a median-priced single-family purchase at 20% down, 30-year fixed, using New York’s 1.40% effective property tax rate plus 25% of rent for insurance, maintenance, vacancy and management.
| Market | Median price | Median rent | Annual property tax | CF / month |
|---|---|---|---|---|
| Ogdensburg, NY | $144,973 | $1,169 | $2,030 | $-52 |
| Elmira, NY | $161,607 | $1,263 | $2,262 | $-88 |
| Corning, NY | $171,646 | $1,293 | $2,403 | $-130 |
| Oneonta, NY | $216,762 | $1,479 | $3,035 | $-280 |
| Binghamton, NY | $198,435 | $1,313 | $2,778 | $-287 |
| Olean, NY | $166,484 | $1,029 | $2,331 | $-295 |
State median across the metros: $230,333 home, $1,423 rent, $-448/mo modeled cash flow.
Track your New York rental portfolio
The Pro Portfolio Tracker rolls up every property in your portfolio, auto-revalues them monthly against local price data, and flags DSCR risk and equity milestones. Each New York property carries the state-specific tax burden shown above through to the cash flow calculation.
Property tax rate: Tax Foundation. Security deposit rule: state statute. Verify current law before making decisions — statutes change and this page is a planning reference, not legal or tax advice.