In other states, developers have to pay for all their infrastructure up front as a condition of permitting. So they have to charge enough for the homes in their new subdivisions to pay for all of this. If a project doesn’t “pencil out” for them, they don’t build. They don’t depend on “bond money” concealing part of the actual purchase price from buyers, allowing them to build freely without using their own funds for the necessary pre-construction infrastructure and then letting their buyers sort their finances out after COE (and they’ve closed up shop and left), as CA developers do.
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On this, we are absolutely in total agreement! Mello-Roos are used to pad the pockets of developers and the owners of vast tracts of land, both of which can charge higher prices for what they’re selling because too few people are willing to think about TOTAL PRICE, preferring instead to focus on payments — Used Car Dealership Tactics 101. 🙁
