Is there a way to find out what the bond is actually paying in interest as opposed to trying to calculate it yourself. I’ve read numerous articles where mello-roos districts have refinanced and lowered the cost to residents. Could some of what looks like mello-roos be a community service district fee, which can’t be paid off as it is for ongoing maintenance or services that other residents of a city do not get. For over 50k, you’d want to make sure that you are getting out of the entire bill, not just part. You’d also want to make sure there aren’t plans to refi on the part of the municipality as the buyers of certain muni bonds don’t pay tax, thus they have a lower yield. I’m kinda shocked they are paying 9%, that’s more Greece pays.
Here’s an article from about 5 years ago when rates were much higher and a municipality refi’d the mello roos for just a .9 interest rate bump.
The article indicates the city in the article discovered by accident they could refi the mello roos bond, perhaps sending the mello rood district officials this info could save you even more, their rate should be less than a heloc.
If they end up doing it, I expect some mention in whatever news coverage they receive, it’s good for my social life
