Thanks, Real Estate Bubble: City's Estimated 2006 Deficit Drops

Woo hoo: The city's 2006 budget deficit is pratically halved, down to $2.6 billion from a projected $4.5 million. And why? The "overheated real estate market" mostly: The city will get an extra $3.4 billion in tax revenue, but some of the boon is offset by other contract negotiations. And the Mayor's office believes that real estate taxes won't be that high in the future, down from the unexpected $737 million extra this year to juts $66 million next. C'mon, crazy billionaires - buy some more outrageously priced apartments! Mayor Bloomberg and the City Council will start budget negotiations for the 2007 fiscal year in the new year (the city's fiscal year starts July 1), so let's see what will stay increase or decrease, return or disappear in May.