[KeepingItReal]

Originally Posted by twinklesweep

Is $21K the cost of the bond on typical new construction nowadays? Oh my.... In my part of TV (which is much of TV), bonds on secondary market homes usually range from $0 to $5,000. I cannot even imagine adding $21,000 to the price of my home! I probably couldn't even afford it!!! And besides, given the choice, I'd rather have more home in a more convenient location than take on a bond that can add 10% or more to the price of my home. Whew!

You can look up the bond for any property on this link below. I think you'll find most new designer home bonds are right at $20-21K (UNIT 175 is $21.5K UNIT 205 is $22K)but the villas are less and premier areas are more. Look it up by section or name. Your section and lot number are on your ID card and shown as a UL # right above the barcode.


Download My Amortization Schedule link.

Village Community Development Districts

[Bogie Shooter]

Originally Posted by jdsl1998

How is the bond on our house paid? What is the impact if we pay it off this summer?

Have you looked at your tax bill for the last four years?

[JB in TV]

Originally Posted by twinklesweep

Is $21K the cost of the bond on typical new construction nowadays? Oh my.... In my part of TV (which is much of TV), bonds on secondary market homes usually range from $0 to $5,000. I cannot even imagine adding $21,000 to the price of my home! I probably couldn't even afford it!!! And besides, given the choice, I'd rather have more home in a more convenient location than take on a bond that can add 10% or more to the price of my home. Whew!

For whats its worth, I think that most of us that have bought in the new areas were aware of the bond costs when we made the decision to buy new versus resale. We weighed alot of factors, and decided on new.

[graciegirl]

If you pay off your bond this week on your new Lily. And then in about a year decide that you wish you had a golf cart garage and a little more privacy in back and want to get away from the smoker who is on their lanai 22 ft from yours and put your house up for sale and another Lily owner who did not pay off their bond advertises their house for 23K less and sells it right away to a brand new person who just thinks your house is quite a bit higher in price.

You don't think you will ever sell your house in TV....but a lot of folks do.

[twinklesweep]

Originally Posted by JB in TV

For whats its worth, I think that most of us that have bought in the new areas were aware of the bond costs when we made the decision to buy new versus resale. We weighed alot of factors, and decided on new.

Sorry, I guess I wasn't clear. Please understand that I was not questioning what motivates buyers in terms of what and where they decide to buy. Up until reading this thread I had no reason to keep current on the cost of bonds and was just shocked at that $21,000 figure (coupled with the realization that I could never afford a bond like that).

[graciegirl]

Originally Posted by twinklesweep

Sorry, I guess I wasn't clear. Please understand that I was not questioning what motivates buyers in terms of what and where they decide to buy. Up until reading this thread I had no reason to keep current on the cost of bonds and was just shocked at that $21,000 figure (coupled with the realization that I could never afford a bond like that).

Each series of new homes(villa, cottage, designer,premier) has a different price for the fee of the infrastructure, probably based partially on the size of the lot. (i.e. THE BOND)

I don't know what the bond prices are on cottages and villas. I am thinking that close to 23K for a designer is correct and about 50K for a Premier. The price of the infrastructure...the roads, utilities, preparation of area for building, the rec centers and golf courses and pools in place before a home is built in the area is a separate charge here called the bond. Unlike any place that I have known before, the price of the infrastructure is not figured into the price of the home. It is separate and the interest rate is higher than most people find fair.

Now that COULD be the awful, unseen, cruel and dispicable developer is trying to make more money on the poor, unfortunate and innocent potential buyers, as some try to allude. (Some of them are thinly disguised MLS realtors who are annoyed that they can't sell new homes)

Or it may be a successful way of doing business.

It depends on how people like to read it.

And how people like to read things add so much spice to this forum and keeps us all from being bored.

I enjoy so much trying to figure out what folks are "up too".

I don't think you are up to anything, Twinklesweep. Prices do keep going up. Because they CAN and because the prices of materials go up, but mostly because they CAN. Not just here but everywhere. I think if you add the price of the bond to the price of the home you will have a clear picture of how much a new home sells for.

I am glad you live where the bond is lower.

To new readers.
There is a separate and significant charge on new homes and some resales called a bond. If you just add it to the cost of your house in your mind, it is easier to understand. In other areas it is figured into the cost of the home.

You cannot buy a new home and use a VA or FHA loan OR write any contingincies in a contract on a new home..

You will NOT be given your deposit back.

You can get bigger homes outside of The Villages for the same money.

NO ONE is going to pressure you to live here.

There is a lopsided political climate here.

There are a lot of oldish people walking around and a lot of idiot drivers.

The doctors may not be what you are used to.

At High season this place is CROWDED causing some traffic snafu's that no one has solved.

The Colony Plaza parking lot is so full on most days you would think someone is giving away money.

The grocery stores and restaurants near 466A are so crowded because a lot of danged fools ignored all of the above and bought here anyway.

This place is like my granddaughter...How could you not fall in love with such beauty and charm?????.

[rmcpklinefelter]

The whole bond issue almost turned us off to TV, we went pre-owned with a very low bond which we paid at closing We love our home/lot, are content here and sleep well.

[JourneyOfLife]

Originally Posted by graciegirl

If you pay off your bond this week on your new Lily. And then in about a year decide that you wish you had a golf cart garage and a little more privacy in back and want to get away from the smoker who is on their lanai 22 ft from yours and put your house up for sale and another Lily owner who did not pay off their bond advertises their house for 23K less and sells it right away to a brand new person who just thinks your house is quite a bit higher in price.

You don't think you will ever sell your house in TV....but a lot of folks do.

To clarify, I assume you man: "but a lot of folks do and then purchase a different TV home"


If that is what you meant, I noticed a number of posts where people commented about it.

While I can understand reasons why it might happen, I would hope to avoid it. At least, that would be the goal.

But for those that are unsure...

Does one have to pay the bond "in full at closing" or can they pay some payments with interest for a while and then pay it off the balance early (save on the future interest)?

[graciegirl]

boy howdy.

[KeepingItReal]

But for those that are unsure...

Does one have to pay the bond "in full at closing" or can they pay some payments with interest for a while and then pay it off the balance early (save on the future interest)?[/QUOTE]

To answer your question at closing you will likely have to pay any interest due until the next bond annual assessment and possibly that year's payment but after that you can pay one payment a year which will be the interest, annual fee, and a small amount on the principal. The payment will be shown on your tax bill and will be paid as part of the overall bill which will also include the maintenance annual charge. The bond can be paid over 30 annual installments if a resident desires. The bond can be paid off later at anytime the owner desires. You can pick any address and go onto the Sumter County PVA site http://www.sumterpa.com/ do a search and look at the previous year's tax bill to see how it is laid out. Full time residents can get a $25K homestead exemption or $50K for a couple but you do have to apply for it and fill out appropriate forms.

Most buyers know they must consider the remaining bond balance and add it to the selling price to know how much they are actually paying for a property since the bond is a lien on the property until it is paid in full.

The annual bond payment amount can be found on this link:

Download My Amortization Schedule link.

Village Community Development Districts

http://www.districtgov.org/PDFView/P...20121129000801

[downeaster]

I realize the original OP was concerned about the advisability of paying off the bond. A lot of pro and cons have been presented giving the OP a lot to think about. One factor I would like to add is peace of mind. I don't think it has been mentioned and I, for one, do not like debt.

The thread has taken many turns and one of them mentioned how the bond is determined. I would like to clarify that by quoting from the FAQ section of the VCCD web page.

"How does the District arrive at the amount? Does everyone pay the same amount?

The Bond Debt Assessment was set at the time the bond used to build the infrastructure was issued. The formula for calculating each lot’s proportionate share starts with the total cost of the bond (including interest) issued to pay for the infrastructure. That cost is divided equally among each assessable acre in the “phase” of the District for which the bond was issued. That gives you a cost per acre. The cost per acre is then multiplied by the number of acres in the unit in which you live. That gives you the obligation for the unit as a whole. The unit total cost is then divided by the number of lots or parcels in the unit, and that computation gives you the amount of the assessment levied against each property. Therefore, each lot within a unit pays the same amount."

BTW, for the benefit of English majors, the qoute is an exact copy including misspelling.

[Quixote]

Originally Posted by downeaster

"How does the District arrive at the amount? Does everyone pay the same amount?

The Bond Debt Assessment was set at the time the bond used to build the infrastructure was issued. The formula for calculating each lot’s proportionate share starts with the total cost of the bond (including interest) issued to pay for the infrastructure. That cost is divided equally among each assessable acre in the “phase” of the District for which the bond was issued. That gives you a cost per acre. The cost per acre is then multiplied by the number of acres in the unit in which you live. That gives you the obligation for the unit as a whole. The unit total cost is then divided by the number of lots or parcels in the unit, and that computation gives you the amount of the assessment levied against each property. Therefore, each lot within a unit pays the same amount."

BTW, for the benefit of English majors, the qoute is an exact copy including misspelling.

What word is misspelled? I must be losing it. (The word "quote" has a typo, but I can't find anything else.)

[downeaster]

Originally Posted by Quixote

What word is misspelled? I must be losing it. (The word "quote" has a typo, but I can't find anything else.)

"assessable" came up underlined in red indicating my spell check didn't approve. I didn't bother to check spell check. I just like to cover my bases with the English major gendarmes.

[Quixote]

Originally Posted by downeaster

"assessable" came up underlined in red indicating my spell check didn't approve. I didn't bother to check spell check. I just like to cover my bases with the English major gendarmes.

"Assessable" is spelled right. See the following link:

Spellcheck Assessable | SpellCheck.net

Spell checkers can be pretty inconsistent (and sometimes just plain wrong!)....

[graciegirl]

English Majors ain't right.

Well sometimes.