so will paying mello roos tax and getting tax benefits have a much better advantage than paying off mello roos upfront now?
2. how mello roos for the bond is calculated between homes built in 2012 and homes built in 2005?
say a bond issued in 2005, and the cost is split by 50 homes built before 2005; and after another 50 homes are built in 2012, is the cost now shared evenly across all 100 homes and be recalculated?[/quote]
in regard to question #1. it depends on whether you are on the hook for AMT. If you are paying AMT yearly, your property tax is not deductible. Therefore, there’s no benefit in having a larger property tax payment.
as for question #2. cost is not recalculated. you are still looking at the same payoff and the cost is still increasing at 2% a year.
