Long Island Property Values and Taxes Among the Highest in the Nation

O'Connor discusses how Long Island property values and taxes are among the highest in the nation.

LONG ISLAND, NY, UNITED STATES, March 25, 2026 /EINPresswire.com/ --


New York has become the focal point of the affordability craze sweeping the nation. While states like Illinois are going through a property tax crisis for the ages, New York has seen land values and taxes increase rapidly, though at a more stable pace than some boom states. While New York City is famous for its small areas and high prices, it is Long Island that is currently seeing the highest prices. It is estimated that 10 of the 15 most expensive places to live in the whole state are located on the island.

With staggering property values also comes staggering property taxes. New York already ranks towards the top of the chart when it comes to taxation, but Long Island takes the cake. On top of having the highest values in the entire state, some of Long Island’s major counties also have tax rates higher than average, compounding the issue further. O'Connor will go over some of the reasons for the high values and taxes, along with ways that property owners can lower them if they own a business or home on Long Island.

Long Island Counties

Long Island is made up of four counties: Suffolk, Nassau, Kings, and Queens. Kings and Queens counties are part of New York City, hosting the boroughs of Brooklyn and Queens, respectively. Approximately 40% of the entire state’s population resides on the island, resulting in a densely populated area with millions of people crammed into a relatively small space. Being independent of NYC, Nassau and Suffolk counties tend to march to their own drumbeat. Since they generally lie outside the urban sprawl of the Big Apple, Nassau and Suffolk have become a refuge for those looking to escape NYC. This independence has also seen Nassau and Suffolk develop some of the highest property tax rates in the state.

Why are Long Island Property Taxes So High?

The easy answer is location, the most important factor when it comes to real estate. While most places around NYC have restricted space, Long Island takes this to a whole different level. This is complicated even further by strong zoning laws, which often restrict areas to single-family housing. This puts up a barrier for apartments and more affordable housing. While this does keep neighborhoods together, the rising costs lead to traditional families being unable to afford their homes. Along with the zoning laws, expensive construction costs, complicated permits, and a general malaise towards new construction or development have caused development to stagnate. Currently and in the past, there have been concerted efforts to block affordable housing from being built on Long Island. This has led to the median home price on Long Island being $734,000. There was also a large spike in value during the pandemic as more people than ever were looking for a home outside of the city.

Because of the lack of development and restrictive housing requirements, the tax base cannot grow, which means that local taxing bodies must ratchet up rates to fuel an ever-growing demand. Long Island is known for its excellent schools, which require large amounts of funding to operate, usually over 60% of the total budget. School taxes make up the largest portion of property tax bill in New York, so this means that rates climb every year. There is also a large pension system that needs to be paid across the island, which acts as a drain on the coffers. While not to the level of Chicago, funding the pension system could be an anchor around the neck of taxpayers for decades to come. Nassau and Suffolk counties also use an outdated assessment system, which leads to more errors and outsized values that then fall prey to escalating tax rates.

Nassau County

Nassau is one of the most expensive counties in New York to live in and constantly battles Westchester to be the most heavily taxed county in the state. Thanks to its close proximity to New York City, Nassau County has long been a desirable suburb for city residents. Nassau has been the strongest opponent to the construction of affordable housing, or new construction in general. Only 1% of all housing value was constructed between 2023 and the present, showcasing how little building has taken place. Commercial value is roughly the same.

This has led to Nassau County becoming the ultimate seller’s market, with the median home price being $815,000, almost double the nation’s median price. A key component of New York property assessment is the fair market value of properties. As homes sell for more, their taxable value increases. This goes for all properties, even if they are off the market. While it may be a seller’s paradise, it can be incredibly difficult for families, and especially seniors, to stay in their homes due to property taxes. The average tax bill for a home in Nassau County often exceeds $10,000. Since property taxes are included in mortgage payments, mortgage payments also climb every year. House payments are more than double the national median. Taxable value grew 5.7% for homes and 16.6% for commercial properties in 2026.

Suffolk County

By area, Suffolk is the largest county on Long Island, making up the eastern two-thirds of the island. Known for its miles of coastline and beauty, Suffolk County is an even better refuge than Nassau. Suffolk also has the largest population of any county in New York outside of NYC. The demand for real estate matches that of the rest of the island, though Suffolk’s median home price is lower than Nassau’s at $660,000. These high prices have not stopped homes in the county from selling like hotcakes, making it one of the top housing markets in the nation. This, of course, leads to higher assessments and higher taxes. The average tax bill in Suffolk County is around $7,100, though many pay more.

In recent years, Suffolk has allowed more construction and affordable housing than Nassau, but the taxes and costs of buying a home are still rising. Suffolk County has had pension issues in the past, including being forced to borrow money. Likewise, it also has an antiquated appraisal system that often leads to errors. Suffolk also announced recently that property tax rates will be going up again in its latest budget as a way to make up for shortfalls from federal payments and to keep up with inflation. This means that property taxes could catch up to Nassau, which would make things even more untenable for many families trying to stay in their homes.

Queens and Kings Counties

As boroughs of New York City, Kings and Queens counties have their own high property values baked in. While Manhattan has the most valuable real estate in the state, Queens and Brooklyn have their fair share of high-demand properties. Being on Long Island, waterfront property is at a premium, especially in Brooklyn, which tends to have higher values and taxes compared to Queens. Despite being part of New York City, both have lower property taxes on average than Nassau or Suffolk counties, at least when it comes to residential rates. Commercial taxes are a whole new ballgame, with Queens and Kings both having huge business sectors that are largely absent in Nassau and Suffolk. With higher taxes levied on businesses in New York City, it is more of a struggle to own a business in the two Long Island boroughs.

Exemptions and Grievances Can Lower Long Island Taxes

While both NYC and the outer counties of Long Island are seeing higher taxes, there are ways to drop the tax burden homes or businesses. Exemptions are the first step, and New York as a whole does have extensive exemptions to choose from. The School Tax Relief program, or STAR, is the most helpful for homeowners and acts as New York’s homestead exemption. Seniors on fixed incomes can also use Enhanced STAR to save even more on school taxes. However, owners can lower their taxes even further by using grievances and appeals.

Property tax grievances and appeals allow owners to challenge the property’s assessed value, which is the number that taxes are based on. If this can be brought down, then taxes should follow. These even work together with exemptions to grant more savings. Commercial tax appeals are particularly important, as businesses usually cannot benefit from as many exemptions as homes can. While the deadlines for Kings and Queens counties have already passed, there is still time for homeowners and businesses in Nassau County to grieve their taxes. Suffolk County will open up for grievances in April, allowing taxpayers a shot at reducing their taxes. It is important to keep these deadlines in mind, as there is no second chance if owners miss the cutoff date.

Long Island Grievance Deadlines
Nassau County: March 31, 2026
Suffolk County: May 19, 2026

About O'Connor:
O’Connor is one of the largest property tax consulting firms, representing 185,000 clients in 49 states and Canada, handling about 295,000 protests in 2024, with residential property tax reduction services in New York, Texas, Illinois, and Georgia. O’Connor’s possesses the resources and market expertise in the areas of property tax, cost segregation, commercial and residential real estate appraisals. The firm was founded in 1974 and employs a team of 1,000 worldwide. O’Connor’s core focus is enriching the lives of property owners through cost effective tax reduction.

Property owners interested in assistance appealing their assessment can enroll in O’Connor’s Property Tax Protection Program ™. There is no upfront fee, or any fee unless we reduce your property taxes, and easy online enrollment only takes 2 to 3 minutes.

Patrick O'Connor, President
O'Connor
+1 713-375-4128
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