Last reviewed: October 9, 2026. General information only, not tax or legal advice. Program rules, income limits, and deadlines change every year. Confirm with the NYS Department of Taxation and Finance and your town assessor.
Property taxes are one of the biggest ongoing costs of owning a home anywhere in the Finger Lakes, and lakefront assessments can make them bigger. Two things are worth getting right in your first year: registering for New York’s School Tax Relief (STAR) program if the home is your primary residence, and understanding your assessment well enough to know whether it’s fair. This guide covers both, using the state’s own guidance.
STAR in one paragraph
STAR reduces the school tax burden for eligible homeowners whose home is their primary residence. According to the Department of Taxation and Finance, there are two ways to receive it: the STAR credit, a check or direct deposit you use toward your school taxes, and the STAR exemption, a reduction on your school tax bill. The exemption is no longer available to new homeowners; people who have received it since 2015 can keep it for the same home. If you’re buying now, you’ll register for the credit.
Basic vs. Enhanced STAR
Both the credit and the exemption come in two levels. The state’s current eligibility table says:
- Basic STAR: no age requirement. Income limit of $500,000 or less for the credit ($250,000 or less for the exemption), counting the combined incomes of only the owners and owners’ spouses who live at the property.
- Enhanced STAR: for seniors. At least one resident owner must be 65 or older by December 31 of the benefit year. Income limit of $110,750 or less for 2026 benefits and $113,550 or less for 2027 benefits, again counting only resident owners and their spouses.
Income means federal adjusted gross income minus the taxable amount of IRA distributions. For 2026 benefits, the state uses 2024 tax returns. The tax department’s page shows exactly which lines to use: on federal Form 1040, line 11 minus line 4b; on New York Form IT-201, line 19 minus line 9.
Who is eligible
- Primary residence only. The home must be the primary residence of an eligible owner. The state looks at factors such as how much time you spend there, where you’re registered to vote, and the address on your vehicle registration and IDs, and may ask for proof. A seasonal camp or second home doesn’t qualify.
- One benefit per married couple, regardless of how many properties you own, unless legally separated.
- Ownership matters. Corporations, partnerships, and LLCs aren’t eligible unless it’s a farm dwelling. Trust beneficiaries who live in the home and life tenants are treated as owners for STAR purposes.
- Eligible property types include houses, condos, co-ops, manufactured homes, and farm houses.
- Surviving spouses can keep an existing Enhanced STAR benefit if they were at least 62 by December 31 of the year their spouse died; otherwise they may receive Basic STAR until they turn 65.
How to register
Registration is online through the state’s Homeowner Benefit Portal in your Individual Online Services account. The tax department says to register as soon as the home becomes your primary residence. Before you start, it suggests having:
- names and Social Security numbers for all owners and their spouses;
- the school district for the home (check the tax bill; around the lakes, district lines don’t always follow town or mailing-address lines);
- the approximate purchase date and, if you have them, the sellers’ names;
- the most recent school tax bill, if you received one;
- the address of any residential property owned in another state; and
- income tax returns for all owners for the year the state is using (2024 for the current cycle), or income details if you didn’t file.
Keep your confirmation number. If eligible, the state issues the credit before your school tax bill is due, following its published STAR Credit Delivery Schedule. If your school taxes are paid through a mortgage escrow account, the department suggests telling your lender you’re receiving the credit.
You don’t need to re-register each year. The state reviews eligibility annually. Update your registration after changes such as marriage, divorce, a co-owner leaving, a death, a trust or life estate, or a name change, and close it if you sell.
Moving from seasonal to year-round
Many Finger Lakes owners start with a summer place and later make it their main home. STAR follows primary residence, so the switch is the moment to register. The state’s residency factors (voter registration, vehicle registration, IDs) are also the things to update when you move: register to vote at the lake address, change your license and registrations, and file taxes from there. If you still own a home elsewhere that receives STAR, remember the one-benefit-per-couple rule.
Your assessment: is it fair?
STAR reduces school taxes, but your tax bills start with your assessment. The tax department’s guide to contesting your assessment suggests three steps:
- Find the assessor’s estimate of market value. If your municipality assesses at 100 percent of market value, your assessment is that estimate. If not, divide your assessment by the municipality’s level of assessment.
- Estimate your own market value, for example from recent comparable sales. Owners of unusual properties may want an appraiser.
- Compare. If the assessor’s market value estimate is roughly what your home would sell for, your assessment is generally fair.
The department gives an example worth remembering: if your home is worth $100,000 and assessed at $100,000, but the town assesses at 90 percent, you’re over-assessed, and your assessment should be $90,000.
Grievance Day and the formal process
Check your assessment every year before Grievance Day, which the tax department says is typically the fourth Tuesday in May, though you should confirm the date with your assessor. Start with an informal conversation with the assessor; it often resolves questions. If not, there are two formal levels:
- Administrative review, the grievance process at the municipal level, which you must go through first; then
- Judicial review, either Small Claims Assessment Review (SCAR), a low-cost option available to most homeowners, or a tax certiorari proceeding in State Supreme Court, for which you’d want an attorney.
The department also notes that assessors don’t set taxes. If your assessment is accurate but the bill still feels too high, the place to raise it is with the taxing jurisdictions: the school board, county legislature, town or city board, and fire or other special districts.
A worked example
Suppose your town’s level of assessment is 85 percent and your lake house is assessed at $340,000. Using the tax department’s formula, the assessor’s estimate of market value is $340,000 ÷ 0.85 = $400,000. If comparable sales suggest the house would sell for about $400,000, the assessment is in line. If comparable sales point to $350,000, the fair assessment at 85 percent would be about $297,500, and you’d have a case to discuss with the assessor and, if needed, at Grievance Day. (These numbers are illustrations, not actual rates for any town. Your town’s level of assessment is published by the state and usually appears on your tax bill or assessment notice.)
Common mistakes
- Waiting to register. The state says to register as soon as the home becomes your primary residence.
- Assuming the seller’s STAR transfers. A change in ownership means the new owner registers.
- Forgetting to update after a life change such as marriage, divorce, or a death in the household.
- Titling the home in an LLC without realizing it affects STAR eligibility.
- Missing Grievance Day. Formal review starts with the municipal grievance; you generally can’t skip to SCAR.
Lake-specific things to watch
- Shoreline and frontage: lakefront and lake-access parcels can be valued very differently. Make sure the assessor’s records describe your frontage, rights-of-way, and improvements correctly.
- Records errors: check the property record card for square footage, bedrooms, bathrooms, and whether a seasonal cottage is recorded as year-round.
- New construction and additions are usually picked up by the assessor; expect a change after a permit is closed.
- School district: it determines your school tax rate and which district your STAR credit is tied to.
Lake-by-lake guides
Our lake sites cover local details: property taxes on Keuka Lake and STAR for new Keuka homeowners. For lake-specific rules on septic, docks, and drinking water, see Living on Seneca and Living on Canandaigua.
Common questions
I bought in the summer. Is it too late for this year’s credit?
Register as soon as the home becomes your primary residence. The state issues credits on a schedule tied to when school taxes are due in each area, so timing depends on your district. If you miss a payment window, contact the tax department.
Can I get STAR on a lake cottage I use in summer?
No. STAR requires that the property be your primary residence.
We own the house through an LLC. Can we get STAR?
Generally no. The state says corporations, partnerships, and LLCs aren’t eligible unless the property is a farm dwelling.
Official sources
- NYS Tax: Register for STAR or update your registration
- NYS Tax: STAR eligibility
- NYS Tax: Contest your assessment
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