“For real estate values, I’m worried about over-taxation on those that are contributing a lot to the city’s coffers,” he told Mortgage Professional America. “On the high end, if there’s a negative tax consequence for those highest earners, then that might cause an exodus.
“On mid- to lower-priced properties, everybody’s going to be staying put because they kind of have to. This is where they cash their paychecks. In terms of going to other nearby areas – Long Island, upstate New Jersey, commutable neighborhoods – none of them are a reasonable tax haven in comparison.”
Mamdani’s plans would likely face major roadblocks if he’s elected – not least from President Trump, who’s labeled him a “communist” and threatened to send National Guard troops to New York if he wins.
But the impact of a Mamdani win on the mortgage market, according to Leibowitz, would be minimal. “On the mortgage side, I don’t think there will be any issues,” he said. “We’ve got a nationwide mortgage system that’s very robust irrespective of where we are and the neighborhoods that we serve.