Rules About Mello-Roos

Mello-Roos fees… how do they work?

What are some of the rules about Mello-Roos? Mello-Roos fees may be levied only as long as they are needed to pay off the bonds. Typically, the duration is 20-25 years but can be as little as 15 years and as long as 40 years..

How long do I pay Mello-Roos?

Typically, the bonds are paid off in 20 years, but State law allows up to 40 years. Those who purchase a new home have the option to pay for their Mello-Roos tax in its entirety at the time of purchase.

Do Mello-Roos expire?

When does my Mello-Roos expire? Not all Mello-Roos taxes have an expiration date. Some Mello-Roos taxes fund ongoing maintenance, fire and/or ambulance services, etc. These do not expire unless an expiration date was approved when the district was formed.

Is Mello-Roos tax forever?

How Long Do Mello-Roos Fees Last? These additional tax payments are intended to help new communities grow by providing adequate funding for important facilities. They are not, however, intended to last forever. However, if you purchase a new home, you do have the option of paying off the total fee right away.

Can Mello-Roos be removed?

Although Proposition 13 tax limits are on the value of real property, Mello-Roos taxes are equally and uniformly applied to all properties. if you don’t pay it on time, then the facilities district that obtained the lien can withdraw the assessment from the tax roll and commence judicial foreclosure.