I just found out that a unit i made an (accepted) offer on is going to have a tax increase of $ 434 per month.
I was NEVER told that the building had a tax abatement, i had to investigate, $ 434 is significant, i wish i would have offered less. No contract has been signed. Apt has been on the market forever.Thought?

That's easy. Reduce your offer and either let them accept it or walk away. (Assuming, of course, this increase is happening in the near future, not ten years down the road). A verbal offer is not binding. If this is an imminent increase, it was totally dodgy of them not to inform you.

Yes the abatement ends this year

if you still want it with the increase, figure out how much $$ that would be on a mortgage and deduct from the new offer.

did someone tell you this or did you have to dig it out?

Listen, it's up to you and how much you want this particular apartment--but it would be a deal breaker for me. I suppose it depends on the other numbers, too. On a multi million dollar apartment, maybe that isn't a big adjustment. On a half a million dollar apartment, I imagine it's significant.

offer 130k less or so which is the mortgage equivalent at 4% of that monthly increase

and add another 25k for punitive damages

ab_11218

I met the original sponsor by coincidence at another open house and i called him as soon as i made the offer to get his opinion- He's the one who told me about the imminent increase

Then i asked the broker- Otherwise i would have never known until after signing the contract

And yes- I had a buyer's broker haha

can you even with the abatement in place?

7, you would not have signed a contract as your attorney, with 1/2 a brain, should catch this while doing due diligence

Half the brokers in this city have no idea how tax abatements work.
Any condo building less than 10 years old one should be deligent and not expect a seller's broker to just volunteer the info. In a perfect moral world...sure.. why not, but we dont live in one.

On the flip side,accepted offer is not in contract so in the same moral vein you can reopen negotiation.

$434 a month is worth around $90K of mortgage on a 30 year at 4%. A 30 year mortgage represent the most "normal" form of mortgage, not th 5 , 7 year ARMS or legs.
So the neighborhood of $90K is your target.
Of course, the seller is not obligated to oblige.
If you really want the apartment, present your case on paper, showing the schedule of a 30 year mortgage for 90K at 4% and it's monthly payment.
Approaching a slower demand time of year so...who knows.

During this negotiation make an appointment with your buyer's broker to see another apartment in the meantime. Brokers hate the smell of a dying deal and you'll find those two (seller and buyer brokers) thick as thieves trying to get the deal done.

truthskr, I'd say more than half. Much more. Plenty of attorneys don't either.

classic strategy by seller/seller's broker. withhold information, get a bidder in who often does not have another apt they fell in love with, reveal information, bidder gets mad but decides the cost of backing out (emotionally, effort-wise) is not worth it and they decide they can deal with the higher cost.

Bjw, that's just the ones that know nothing, add another 30% that think they understand it. :)
I think a nyc RE attorney not knowing and understanding would be criminal and grounds for malpractice.

Yikes, I have enough borker friends to know their hopes, dreams, fears, and achillies heel.

I was actually in the exact same situation 2 years ago. I made an offer on an east village apt with stellar outdoor space. It had somewhat high monthlies and had one last raise to go, another $375 a month. My offer included this reference and my arguments at the time likely helped kosher the subsequent sale to the next buyer which was fine, 2 things I really hated about it was the block and that neighborhood is abysmal for parking garages, my car is an extreme necessity.

http://streeteasy.com/nyc/sale/567457-condo-416-east-11th-street-east-village-new-york
One other quirk, the mechanical room on the roof was converted to a third bed and bath, a great plus on the roof but no C of O.Not that big a deal to me. Could still call it a 2 bed and 2 bath.

Point is ,it was a blessing in disguise, found my apartment 2 months later.

I disagree Crescent, your giving too much credit.
THe broker likely doesn't know the info.
The broker asked the seller what's the monthly and put it up, maybe verified with a 6 month old statement.

Now should Seven7 walk away from this deal, will the broker update the monthly for future reference? No not likely.
Anyway, still buyer's responsibility to verify.

well, ok, seller is dirtbag, not seller's broker. I listed both given the possibility.