There are indeed districts where you can pay off the M-R early, and it has been done.[/quote]
There might be a pre-pay option on the original 30-40yr bond debt plus associated “administrative fees” for that initial period. But remember, M-R allows for ongoing “maintenance costs” on the “infrastructure improvements” the original debt was supposedly used to pay for.
[/quote]
There must be a pre-pay option, because the owner told me they were not paying the M-R anymore and even stated it in their ad when they sold the place.
[quote=joestool]Since I don’t think there’s been any cases yet of the initial M-R bond finance period ending for which someone has “prepaid”.[/quote]
No, the finance period has not ended yet. We shall see what happens when it does….maybe they will get hit with a fee. But even if there is some sort of on-going maintenance fee that gets tacked on for the owner at that point, I bet it is much lower than the original M-R.
