[Bogie Shooter]

Originally Posted by LoisR

Just read two articles in today's Daily Sun about two new Village developments to be built (Bellaviva at Whispering Hills and Cypress Reserve).
Both have posted yearly assessments of over $8000 for a single family home.
Am I correct in this figure?
How many people can afford this?

Are you referring to the public legal notices?

What does that have to do with bonds in The Villages? As you call them Village developments?

[Altavia]

Originally Posted by kansasr

There is no indication in either of these public filings that this is The Villages Land Company.

https://www.maurycarter.com/wp-conte..._S20230613.pdf

The parcels highlighted in red comprise the Journey Circle M Ranch in Leesburg. The 1,356-acre ranch is reportedly under contract. (Lake County Property Appraiser)

Ayana Holding, a fully-integrated real estate development firm based in Dubai, has entered into a joint venture with Orlando-based Marsan Real Estate Group to develop a 1,800-acre master-planned retirement community in Lake County, about 40 minutes outside of Orlando, with an estimated value of $1.6 billion.

Located a few miles from The Villages, Bella Viva at Whispering Hills would comprise 5,500 homes with a mix of retail and commercial development.

The conceptual master plan calls for golf courses, restaurants, shopping malls, a medical clinic, boutique hotel, spa, hospital and equestrian center, according to the JV partners.

Leesburg City Manager Al Minner told GrowthSpotter representatives of the Marsan Group have had three neetings with city staff to discuss the project, and they submitted a very informal proposal which was returned to the developer for completion. "It really wasn't at a stage to where we could even process it," Minner said.

[MikeN]

The bond is what our developer added to the purchase price for a home. It’s the cost of putting utilities on the lot. NO other builder has done this to my knowledge. It has always been part of the total price of the property. The bond makes the property look more reasonable in price but with interest etc it actually is more like a hidden second mortgage you repay. Yes, you can pay it off or pass it along to the next buyer

[LonnyP]

The developers are paying higher prices to acquire the land. They are very poor so they need to increase their cash flow.

[Shelbyh]

Originally Posted by LoisR

Just read two articles in today's Daily Sun about two new Village developments to be built (Bellaviva at Whispering Hills and Cypress Reserve).
Both have posted yearly assessments of over $8000 for a single family home.
Am I correct in this figure?
How many people can afford this?

We had a trivia question about the TV. How many were at least millionaires…39% so yes there will probably be some buyers just not me Lol.

[billethkid]

The continuing sales and expansion over the years (population 35,000 in 2004 and currently 154,00) would indicate the bond or amenity fees are economic factors but not inhibitors!

[kansasr]

Originally Posted by Shelbyh

We had a trivia question about the TV. How many were at least millionaires…39% so yes there will probably be some buyers just not me Lol.

Interesting stat from the Sumter Property Appraiser data....in the Villages in Sumter County there are 631 properties with an assessed value of 1 million or more. Tied for first place with 69 each are Bridgeport at Lake Sumter and Pinellas, followed closely by Pennecamp with 65.

[Nordhagen]

Originally Posted by retiredguy123

op, it looks like your figure is correct. The bond amount for a typical single family house in cypress reserve is estimated to be $87,408.62, and the annual bond payment to be $8,348.69, to include principal, interest, and the admin fee. As to how many people can afford it, i assume that a lot of people will be able to afford it.

wow

[Nell57]

I was told last week, by a Villages Agent, that bonds are now for 31 years.

[Normal]

Personally, I think they should dump the bond idea altogether. Florida should legally eliminate bonds. If a builder wants to develop fine, but have them do it on their own dime and charge accordingly.

Bonds are just a way to muddy the waters of a real estate deal and make things “appear” cheaper than they actually are. They entice the builder to keep on building and leverage against buyers.

80 K bonds do seem rather high.

[Justputt]

That bond makes the Enclave look like a steal. Competition could be good for buyers.

[justjim]

Originally Posted by VApeople

Do you think the purchaser will notice the house comes with an unpaid bond of $80K?

It’s rather important for most of us to “due diligence” before purchasing property. Of course it’s all in the paper work. Have an attorney look over the paperwork if you’re “new” at purchasing property.

[golfing eagles]

Originally Posted by Normal

Personally, I think they should dump the bond idea altogether. Florida should legally eliminate bonds. If a builder wants to develop fine, but have them do it on their own dime and charge accordingly.

Bonds are just a way to muddy the waters of a real estate deal and make things “appear” cheaper than they actually are. They entice the builder to keep on building and leverage against buyers.

80 K bonds do seem rather high.

No developer, anywhere, ever, is going to build infrastructure "on his own dime". Usually it is included in the price of the home, here it is financed by bond offerings. Same difference, but it does make the price of the home appear to be lower. No different that the low fare airlines that then want to charge you extra for the engines or a pilot.

[Bill14564]

Originally Posted by golfing eagles

No developer, anywhere, ever, is going to build infrastructure "on his own dime". Usually it is included in the price of the home, here it is financed by bond offerings. Same difference, but it does make the price of the home appear to be lower. No different that the low fare airlines that then want to charge you extra for the engines or a pilot.

Benefit to the bond: Easier to qualify for any mortgage needed to purchase a home

Drawback to the bond: Prices can be inflated (increased profit) since $30K+ of the true cost is hidden

Rationalization for the bond: The price of the house is the true price since it is the price of the land and the structure. The bond pays for the infrastructure which the homeowner will never own and will never ask their insurance company to replace after a storm or fire.

Outside the bubble: The cost of the infrastructure was paid for somehow. Either the city paid for the developer to put in streets, water lines, and sewer lines or the cost was divided between the homes and added to their price. It doesn't seem likely that the city would pick up that tab to help the developer make money.

[Normal]

Originally Posted by golfing eagles

No developer, anywhere, ever, is going to build infrastructure "on his own dime". Usually it is included in the price of the home, here it is financed by bond offerings. Same difference, but it does make the price of the home appear to be lower. No different that the low fare airlines that then want to charge you extra for the engines or a pilot.

Exactly, just pass legislation that builders can’t hide behind their “bond” smokescreen. Besides, with inventory above and beyond record here in the Villages it has become a natural time to transition into home seller transparency.