Purchasing The Villages bonds
 

The interest rate on my bond is almost 7%. I am wondering how I can purchase the bonds when they become available since that is a very high interest rate for something that has no risk whatsoever. Has anyone looked into this?

You can pay it off immediately as many do. OR not, as many do. We don't have a mortgage, but have already moved once here is seven years and may do so again if that Gary Morse keeps building interesting stuff. It is our opinion that you would have to add the paid off bond fee in your asking price of the home if you were to list it. If it isn't paid off the asking price SEEMS lower.

Yes, you can buy them IF your broker knows what to look for and lets you know as soon as they are available. I understand that they usually sell out to institutional investors within hours after an offering is made. You don't buy the individual homeowners' bonds, but the bonds that are sold when a whole section or district is being developed. I bought some a couple of years ago with 6% interest and I agree with you, it's about as close to no risk as investments go these days. I believe that $10,000 is the minimum purchase.

Seems like a good deal, now the effort to find them. PM if you know.

These bonds for purchase.....am I correct in assuming they will NOT be tax-free?

Purchasing The Villages bonds
 

I have bought CDD 5, 6, and 7 infrastructure, tax free bonds on the resale market. Institutional investors get first dibs in big dollar blocks when the bonds are first issued. They have been a good, safe investment. Some bonds do get retired as folks pay them off. Other complete issues have been called when the CDD determined that rates had dropped enough to justify refinancing.

FMS Bonds out of South Florida handles a lot of resales.

Unfortunately, last time I inquired about resales on the 7% CDD 9 and 10, I was told they sell at a 116 price premium that brings the effective yield below 5%.

These are the residential infrastructure bonds...they are tax free and not part of the IRS inquiry.

FMS Bonds
 

FMS Bonds. Ask for Edie Nasello. They will contact you when new issues or resales become available.

I don't believe that she meant her own personal bond on her house. She would like to purchase a block of bonds as a private investment.

Thanks, I will keep checking.

Thanks

Why TV don't advertise this to us and assign a point person to work with us. That will be a great opportunity for all interested parties. Financing our own development is always a rewarding idea and promotes a sense of ownership. It is almost like buying shares in your own company. We own a piece of this great place, so, why not own a piece of its future as well.
Remember the saying "Act/behave as if you own it" we promoted it in our employees performance reviews.
Just food for thought.

Another food for thought:
How about sending a petition-like request to one of Gary's finance person to look into the feasibility of letting us participate in financing the future expansion of this very successful business model run by extremely successful team.

The Bonds for the "Village of Fruitland Park" portion of The Villages
( CDD 11 ) will be issued Monday 20-Oct-2014.

The Underwriter is CitiGroup Global Markets, Inc.

Edie Nasello can be reached at 1-800-741-1103