What is a CDD fee?
Community District Development fee
This is the second time I’ve blogged about CDD fees, a cost as a buyer you may run into while searching for a new home.
A developer will acquire low-cost financing by issuing tax-exempt bonds, with low interest rates, which is then passed on to the home-owner for a specific term, for example 10, 20 or 30 years. This financing is used for but not limited to the developments infrastructure, sewer, roads and parks. Many communities here in the World Golf Village of St Augustine, Florida have CDD fees, however when this fee is present the Homeowners Association dues are usually very low. Consider the amenities that are provided in these communities and you won’t see CDD fees as a determent when buying property. For example if a CDD fee is $2500 a year we can break that down to $208 per month, where can you have a family fitness center membership with pools, playgrounds, sport fields and more for such a low monthly payment.
Remember working with a REALTOR® is the best way to stay informed with anything real estate related, and not every real estate agent is a REALTOR®.
Contact me for more information on CDD and Homeowner Association fees and put me to work for you, while buying or selling Real Estate.