A proposed property tax hike in New York City, a California lawmaker fighting for homeowner insurance rights, and a hotel executive forced out of his job because of a toxic friend. From the wild and wooly world of real estate, here are our Hits and Misses for the week of Feb. 16-20.
Miss: What Did You Expect from a Democratic Socialist? At a time when most elected officials are trying to concoct strategies to lower property taxes, New York City’s Mayor Zohran Mamdani is threatening a 9.5% property tax hike unless the state government approves his call for a new tax on the city’s wealthiest residents. The mayor insists that is the only way he would be able to cover the city’s acute budget deficit. Mamdani’s antics puts New York State Gov. Kathy Hochul is a tough spot – she opposes both the wealth tax (which she can control), and the property tax hike (which is under Mamdani’s control), and acquiescing to tax hikes will not help her ongoing re-election campaign. If either tax goes through, it won’t be surprising to see an exodus of city residents.
Miss: Things Fall Apart. A new survey of 1,000 homeowners conducted by Clever Offers, a platform owned by Clever Real Estate, found roughly 85% of homeowners spent money on an unplanned home repair last year. However, more than half of homeowners (58%) admitted they have nothing saved for emergency repairs. Among those with savings for renovations, 32% have less than $5,000 and 60% have less than $10,000. Half of the survey’s respondents (50%) said their home needs repairs or renovations that they can’t afford right now, and two-thirds (65%) admit they’ve ignored a home maintenance task within the past five years. This survey is a timely reminder that the American Dream doesn’t come cheaply, and prospective homeowners need to realize that maintenance costs need to be budgeted before making any home purchase.
Hit: Ensuring Insurance for Homeowners. A big thumbs up goes to California State Sen. Sasha Renée Pérez (D-Pasadena), who introduced the Insurance Coverage for Fire-Safe Homes Act (SB 1076). This legislation requires insurance companies to offer and renew insurance coverage for any California home that meets wildfire safety standards adopted by the state insurance commissioner, including home hardening measures and defensible-space requirements. It would also allow the commissioner’s office to impose a five-year ban for insurers from both home and auto markets if they refuse to comply with this potential new law. “Being denied coverage after meeting safety standards sends the wrong message and is akin to being penalized for doing the right thing,” said Pérez. “SB 1076 will ensure that our communities’ insurance needs are met by making coverage available to them for making existing neighborhoods safer.”
Miss: Disinterest on Capitol Hill. The Wall Street Journal is reporting President Trump is seeking Congress to buy into his proposal to ban investors who own more than 100 single-family homes from buying additional properties. The likelihood that either the House or Senate will agree to that idea is unlikely, given that the rival housing relief bills from the two chambers of Congress did not include any provision regarding the restriction of institutional investors in the housing market. The president is expected to raise the issue again during his State of the Union address on Tuesday, but Trump’s inability to move the Republican majorities in Congress on this issue shows evidence of a White House that is beginning to overplay its hand.
Hit: Leading the Builders. The National Association of Home Builders announced its 2026 leadership team this week, with Bill Owens, founder and principal of Worthington, Ohio-based Owens Construction, as chairman. Joining Owens is Bob Peterson, founder of Associates in Building + Design Ltd. in Fort Collins, Colorado, as vice chairman and Gary Campbell, CEO of Campbell Communities in Lowell, Massachusetts, as second vice president. Congratulations to this trio on their new roles, and we are eager to see how they represent their industry in the midst of the ongoing challenges that face the housing market.
Miss: The Company You Keep. Earlier this week, Tom Pritzker resigned as executive chairman of Hyatt Hotels after his association with disgraced financier and convicted sex offender Jeffrey Epstein popped up in the latest batch of files released by the Department of Justice. Pritzker, who has held his position since 2004, said in a statement, “Good stewardship also means protecting Hyatt, particularly in the context of my association with Jeffrey Epstein and Ghislaine Maxwell which I deeply regret. I exercised terrible judgment in maintaining contact with them, and there is no excuse for failing to distance myself sooner.” While Pritzker was not linked to any criminal activity, the guilt by association stigma of having a professional relationship and a friendship with Epstein was enough to force his boardroom exit. And that’s an unfortunate ending to a respected career.
In Memoriam: Rev. Jesse Jackson. This week saw the passing of Rev. Jesse Jackson, civil rights leader and two-time candidate for the Democratic Party’s presidential nomination, at the age of 84. During the 1970s and 1980s, Jackson was among the most prominent activists campaigning for fair and affordable housing while denouncing redlining and discriminatory lending practices against nonwhite borrowers. Rainbow PUSH, the organization he founded and led for years, continues his work by providing housing assistance along with scholarships and education programs. On a personal note: I met Jackson years ago when I was working as a reporter out of the United Nations and I found him to be a charming and pleasant gentleman. While I didn’t agree with many of his political opinions, I respected and admired the intelligence and passion he brought to his work. He was truly one of the last great larger-than-life figures that shaped modern American politics.
Phil Hall is editor of Weekly Real Estate News. He can be reached at [email protected].
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