Is it true great park mello roos is over $1000 a month?

[sunflower]

Since GP has so many subdivisions, maybe the MR increase rate is different at different subdivisions? Or maybe the increase is different depending on the type of property?
Either way, there is a possibility of 2% increase every year. After 30 years, there will be no more MR for all the other communities but GP homeowners still have to pay thousands of dollars of MR each year.
That being said, with the inflation, a few thousand dollars may not worth that much after 30 years, and home value will increase over time. So it may still be a good investment to buy in GP.

 

[Cares]

Maybe my comment wasn't clear. My point is the it CAN go up but doesn't necessarily mean it WILL go up every year.

no, your comment was clear. I think you didn't understand what the article said. It's automatically set to increase by default by the maximum (2%) each year according to the city records. So maybe the change to "automatically" increase to the maximum was set recently. Article was dated in March 2020.

This isn't the case though. Here's just 1 random home I pulled in GP.

238 Denim, Irvine, CA 92618
2020 value $1,427,949
2020 total tax $22,388.28
2020 special assessments $8,059
2020 base tax rate ($22,388.28 - $8,059) / $1,427,979 = 1.003%

2019 value $1,399,950
2019 total tax $22,037.16
2019 base tax (1.003% * $1,399,950) = $14,048.31
2019 special assessments ($22,037.16 - $14,048.31) = $7988.85

2020 increase ($8,059 - $7,988.85) / $7,988.85 = 0.878%

There are many other homes from 2019 to 2020 which increased by less than 1% in GP.

If you're saying many homes, that means the city record is lying. Which I find difficult to believe but who knows. Others have also mentioned all the searches are also increasing by 2%. So maybe there was a timeframe or cutoff period where homes built/sold before a certain timeframe is exempt from the 2% max increase.

I'm just unfamiliar with what "city record" the article is referring to. Do you know? I'm looking at the direct OC tax records for each property and it clearly shows that these homes MR are not increasing by 2% every year.

And does anyone have any documentation that GP MR can increase by 2% and then 3% other than this VOC article? They never sourced this statement so I don't know if it is factual. The tax records certainly don't align with this statement.

 

[Cares]

Since GP has so many subdivisions, maybe the MR increase rate is different at different subdivisions? Or maybe the increase is different depending on the type of property?
Either way, there is a possibility of 2% increase every year. After 30 years, there will be no more MR for all the other communities but GP homeowners still have to pay thousands of dollars of MR each year.
That being said, with the inflation, a few thousand dollars may not worth that much after 30 years, and home value will increase over time. So it may still be a good investment to buy in GP.

Who knows, I don't know the rules and how the increase is determined but it certainly doesn't appear like it is by subdivision.

Pavilion Park - 172 Trillium, Irvine, CA 92618
2020 1.01%
2019 2%

Parasol Park - 127 Terrapin, Irvine, CA 92618
2020 1.45%
2019 2%

Cadence Park - 119 Bravo, Irvine, CA 92618
2020 2.88%

Beacon Park -190 Fixie, Irvine, CA 92618
2020 0.33%
2019 2%

 

[bones]

Maybe my comment wasn't clear. My point is the it CAN go up but doesn't necessarily mean it WILL go up every year.

no, your comment was clear. I think you didn't understand what the article said. It's automatically set to increase by default by the maximum (2%) each year according to the city records. So maybe the change to "automatically" increase to the maximum was set recently. Article was dated in March 2020.

This isn't the case though. Here's just 1 random home I pulled in GP.

238 Denim, Irvine, CA 92618
2020 value $1,427,949
2020 total tax $22,388.28
2020 special assessments $8,059
2020 base tax rate ($22,388.28 - $8,059) / $1,427,979 = 1.003%

2019 value $1,399,950
2019 total tax $22,037.16
2019 base tax (1.003% * $1,399,950) = $14,048.31
2019 special assessments ($22,037.16 - $14,048.31) = $7988.85

2020 increase ($8,059 - $7,988.85) / $7,988.85 = 0.878%

There are many other homes from 2019 to 2020 which increased by less than 1% in GP.

For this house, I see CFD of 7290 in 2019 then 7436 in 2020. That?s 2%.

 

[bones]

Since GP has so many subdivisions, maybe the MR increase rate is different at different subdivisions? Or maybe the increase is different depending on the type of property?
Either way, there is a possibility of 2% increase every year. After 30 years, there will be no more MR for all the other communities but GP homeowners still have to pay thousands of dollars of MR each year.
That being said, with the inflation, a few thousand dollars may not worth that much after 30 years, and home value will increase over time. So it may still be a good investment to buy in GP.

Who knows, I don't know the rules and how the increase is determined but it certainly doesn't appear like it is by subdivision.

Pavilion Park - 172 Trillium, Irvine, CA 92618
2020 1.01%
2019 2%

Parasol Park - 127 Terrapin, Irvine, CA 92618
2020 1.45%
2019 2%

Cadence Park - 119 Bravo, Irvine, CA 92618
2020 2.88%

Beacon Park -190 Fixie, Irvine, CA 92618
2020 0.33%
2019 2%

Fixie: $5257 versus $5154. Also 2%. Too lazy to check the other 3.

 

[Cares]

Ahh I see I did not know they meant specifically just the R3 could increase 2% but thought it meant 2% of all special assessments since I assumed things like fire, landscaping, IUSD, etc. would also need to scale.

 

[Cornflakes]

Some anecdotal objective evidence to set the record straight. Interprete what you will:

I bought a Beacon Park home in Oct. 2016.
219 Canvas in Eastwood closed in April 2017.

I paid $959k - Got 4 bed, 2400 sqft,, and a driveway.
219 Canvas paid $1013k - Got 4 bed, 2246 sqft, no driveway.

My last three property tax bills including Mello:
17189
17538 102.0%
17777 101.4%

219 Canvas last three property tax bills including Mello:
13860
14081 101.6%
14105 100.2%

My home zestimate today is 126% of purchase price.
219 Canvas zestimate today is 135% of purchase price.

Over three years:
I paid $10458 more in property taxes.
I saved $4050 in interest rates by financing fewer dollars at 2.5%% rate.
Missed the boat on ~$100k worth of appreciation gain that EW delivered.

For $6408 additional expense over three years time frame, I enjoyed driveway, few extra sqft.
Was GP purchase a financially savvier decision over EW purchase? No
Do I enjoy living in GP, more than I would have in EW? Yes.

It suits my taste and lifestyle.

 

[sunflower]

It is a personal preference if you are aware of all the information, and there is nothing wrong to choose GP.
The problem is that not everyone knows about the difference of GP MR, like in this article
https://voiceofoc.org/2020/03/irvin...imes-dont-know-what-their-special-taxes-fund/

Some anecdotal objective evidence to set the record straight. Interprete what you will:

I bought a Beacon Park home in Oct. 2016.
219 Canvas in Eastwood closed in April 2017.

I paid $959k - Got 4 bed, 2400 sqft,, and a driveway.
219 Canvas paid $1013k - Got 4 bed, 2246 sqft, no driveway.

My last three property tax bills including Mello:
17189
17538 102.0%
17777 101.4%

219 Canvas last three property tax bills including Mello:
13860
14081 101.6%
14105 100.2%

My home zestimate today is 126% of purchase price.
219 Canvas zestimate today is 135% of purchase price.

Over three years:
I paid $10458 more in property taxes.
I saved $4050 in interest rates by financing fewer dollars at 2.5%% rate.
Missed the boat on ~$100k worth of appreciation gain that EW delivered.

For $6408 additional expense over three years time frame, I enjoyed driveway, few extra sqft.
Was GP purchase a financially savvier decision over EW purchase? No
Do I enjoy living in GP, more than I would have in EW? Yes.

It suits my taste and lifestyle.

 

[sleepy5136]

Some anecdotal objective evidence to set the record straight. Interprete what you will:

I bought a Beacon Park home in Oct. 2016.
219 Canvas in Eastwood closed in April 2017.

I paid $959k - Got 4 bed, 2400 sqft,, and a driveway.
219 Canvas paid $1013k - Got 4 bed, 2246 sqft, no driveway.

My last three property tax bills including Mello:
17189
17538 102.0%
17777 101.4%

219 Canvas last three property tax bills including Mello:
13860
14081 101.6%
14105 100.2%

My home zestimate today is 126% of purchase price.
219 Canvas zestimate today is 135% of purchase price.

Over three years:
I paid $10458 more in property taxes.
I saved $4050 in interest rates by financing fewer dollars at 2.5%% rate.
Missed the boat on ~$100k worth of appreciation gain that EW delivered.

For $6408 additional expense over three years time frame, I enjoyed driveway, few extra sqft.
Was GP purchase a financially savvier decision over EW purchase? No
Do I enjoy living in GP, more than I would have in EW? Yes.

It suits my taste and lifestyle.

It's good to hear that you enjoy and do not regret your decision in buying in GP. Correct my math if it's wrong but I'm doing three scenarios and specifically only looking at property taxes at 1.1%, 1.25%, and 1.8% based on a 1m property:

1.1% = 11k
1.25% = 12.5k
1.8% = 18k

Each year you are spending an extra 5.5-7k. That's not chump change right there. Investing all that in the market each year will give you some great returns. Also, I wouldn't rely on zestimate as a way to judge your home value. I heard from a lot of people its incorrect. In the end, I think it's not wrong to go with GP, but one really needs to ask if that extra 5.5-7k in property taxes is worth it for them or not.

 

[aquabliss]

I purchased in GP phase 1 and now my overall property tax is around 1.2% of my homes current value.  My son plays lots of club soccer at GP fields so it?s very convenient (we can bike or eScooter to practice).  Not sure if it?s worth the extra $ but we like the location a lot.

 

[zubs]

As long as you understand what you are getting yourself into when purchasing a GP home.
Not a lot of foreign cash buyers know the details of property tax as unscrupulous realtor types sell GP homes to them....

 

[cgs37]

I purchased in GP phase 1 and now my overall property tax is around 1.2% of my homes current value.  My son plays lots of club soccer at GP fields so it?s very convenient (we can bike or eScooter to practice).  Not sure if it?s worth the extra $ but we like the location a lot.

i assumed you lived in Shady Canyon! 

 

[Cares]

I purchased in GP phase 1 and now my overall property tax is around 1.2% of my homes current value.  My son plays lots of club soccer at GP fields so it?s very convenient (we can bike or eScooter to practice).  Not sure if it?s worth the extra $ but we like the location a lot.

I mean if you count it like that then many people have property taxes that are 0.5% of their home values. As many know assessed value is much less than market value.

 

[aquabliss]

I purchased in GP phase 1 and now my overall property tax is around 1.2% of my homes current value.  My son plays lots of club soccer at GP fields so it?s very convenient (we can bike or eScooter to practice).  Not sure if it?s worth the extra $ but we like the location a lot.

i assumed you lived in Shady Canyon! 

Na, I rent that place out and live in the slums of NorthEast Irvine

 

[aquabliss]

I purchased in GP phase 1 and now my overall property tax is around 1.2% of my homes current value.  My son plays lots of club soccer at GP fields so it?s very convenient (we can bike or eScooter to practice).  Not sure if it?s worth the extra $ but we like the location a lot.

I mean if you count it like that then many people have property taxes that are 0.5% of their home values. As many know assessed value is much less than market value.

True, my parents bought their present home in Yorba Linda for $40k in 1974.  Current value is about $1.3M and the property tax is around $1,900 per year.  That's like 0.15% property tax!

 

[ndmaynard]

We bought in GP earlier this year over an EW home and MR was a consideration, but we felt we had more home &yard space and community amenities for the price in GP, and have a much more bullish outlook for the area over the next 10-20 years with the newer schools.

Not sure if it's true but our agent indicated the Mello Roos should decrease in the next few years as more homes are developed in the area that would increase the spread of the tax base. 

 

[aquabliss]

Not sure if it's true but our agent indicated the Mello Roos should decrease in the next few years as more homes are developed in the area that would increase the spread of the tax base. 

Hope you got that one in writing with a money back guarantee from your agent

 

[Cares]

We bought in GP earlier this year over an EW home and MR was a consideration, but we felt we had more home &yard space and community amenities for the price in GP, and have a much more bullish outlook for the area over the next 10-20 years with the newer schools.

Not sure if it's true but our agent indicated the Mello Roos should decrease in the next few years as more homes are developed in the area that would increase the spread of the tax base.

As far as I understand the MR annually is expected to increase as the park gets further developed.

 

[zubs]

https://voiceofoc.org/2020/03/irvines-great-park-residents-often-times-dont-know-what-their-special-taxes-fund/

While special taxes are common in new developments to help cover the cost of infrastructure, the structure for the Great Park?s taxes do not have a set end date and will be used to pay for the Park?s maintenance.

It looks like GP MR is forever.  Most other MR's are set to expire 25 to 40 years later.

 

[Sidehussle]

Maybe my comment wasn't clear. My point is the it CAN go up but doesn't necessarily mean it WILL go up every year.

no, your comment was clear. I think you didn't understand what the article said. It's automatically set to increase by default by the maximum (2%) each year according to the city records. So maybe the change to "automatically" increase to the maximum was set recently. Article was dated in March 2020.

This isn't the case though. Here's just 1 random home I pulled in GP.

238 Denim, Irvine, CA 92618
2020 value $1,427,949
2020 total tax $22,388.28
2020 special assessments $8,059
2020 base tax rate ($22,388.28 - $8,059) / $1,427,979 = 1.003%

2019 value $1,399,950
2019 total tax $22,037.16
2019 base tax (1.003% * $1,399,950) = $14,048.31
2019 special assessments ($22,037.16 - $14,048.31) = $7988.85

2020 increase ($8,059 - $7,988.85) / $7,988.85 = 0.878%

There are many other homes from 2019 to 2020 which increased by less than 1% in GP.

uh...one cherry picked example anecdote doesn't make the whole.