The Not So Ugly Truth About Mello-Roos Taxes On Irvine Homes For Sale - FirstTeam

Some home buyers run screaming when they hear the words Mello-Roos during a purchase on an Irvine home for sale. It’s time to dispel the fear and the not so ugly truth behind these special taxes. First Team Real Estate agents Sandi Clark and Debbie Miller are veteran Irvine experts and top producers in the area.

Sandi says, “Many Irvine home buyers are scared by the term Mello-Roos, but it’s not that scary. Once buyers know the facts, they realize Mello-Roos is not a problem.” If you’ve decided to invest in Irvine real estate it’s probably because you fell in love with the award winning schools, convenient amenities and location and the fact that Irvine is the safest large city in the entire country 9 years running. Do you know what made Irvine such a desirable place to live? It was Mello-Roos.

What is Mello Roos?

Mello Roos are simply taxes to repay community bonds used to build the community. Back in 1978, California passed Proposition 13 which limited property taxation and so in 1982 the State Legislature got creative and passed Mello-Roos taxes which would be a way to help raise money for developing cities and communities.

These taxes a part of your annual property tax bill and paid monthly in order to pay said bonds from the city. They paid to convert the raw land and mountains into something the city could build on and create the amazing city we know today. Mello Roos taxes are found in several other desirable new South Orange County cities and communities like Coto De Caza, Mission Viejo, Ladera Ranch, and Mission Viejo

How much do Mello Roos taxes cost?

The cost of Mello-Roos taxes depends on when the home was built and varies from subdivision to subdivision. They can range anywhere from $30 to over $300 which is added onto your monthly bills. The length of time for Mello-Roos taxes also varies. Some payments only last as few as 10 years while others (most) last up to 30 years or beyond.

Sandi says, “Irvine buyers need to realize that Mello-Roos taxes are a part of the premium to live in Irvine and enjoy the top schools and amenities. The simple question is, can you live with that added onto your mortgage? If not, then choose a part of Irvine that does not have them. Most areas built before 1987 do not have the tax.”

What is the purpose of Mello Roos taxes?

Mello-Roos taxes pay for new schools, parks, and recreation centers in town. They can also be used to build more inventory in high demand locations. Communities with Mello-Roos therefore are great family friendly cities because they are supported and maintained by these taxes. Irvine has amazing new homes for sale, low crime rates, award winning schools, and great parks all because of Mello-Roos.

When you pay Irvine Mello-Roos taxes you reap the benefits of them. It is because of Mello Roos taxes that homes for sale in Irvine have such great schools, amazing parks and convenient infrastructure to offer home buyers.

What areas of Irvine have no Mello Roos taxes?

Common communities that do not have Mello Roos taxes include El Camino Real, Turtle Rock, University Park, most of Northwood and Woodbridge. These are some of the first communities built in Irvine before 1988 and therefore there never were Mello Roos taxes in these areas. Remember, Mello Roos is determined on a house by house basis so these areas have some Irvine homes for sale with no Mello Roos but it is in no way descriptive of all homes for sale in these neighborhoods.

What areas of Irvine have Mello Roos taxes?

Nearly all areas of Irvine built after 1988 have had Mello-Roos taxes. New construction homes in Irvine also have the tax. New homes for sale in Irvine, CA are currently available in the following neighborhoods: Cypress Village, Great Park Neighborhoods , Orchard Hills and areas of Woodbury, Stonegate, and Portola Springs. Contact Sandi Clark and Debbie Miller or any one of our agents in the First Team Real Estate Irvine Office to start your search for Irvine homes for sale.

Our agents are on hand and ready to help you find the home of your dreams in the area, just reach out and we’ll match you with your own personal guide to the best Irvine homes for sale.

Email us at clientservices@firstteam.com

Call us at 888-870-1142