US 2028 Mello-Roos Tax
Mello-Roos = CFD (Community Facilities District) special tax in newer CA developments. Funds schools, roads, parks. Adds 0.5-2% effective property tax.
| Base property tax | — |
| Mello-Roos special tax | — |
| Total annual property tax | — |
| Effective rate | — |
Mello-Roos (Community Facilities District / CFD special tax) is a California-specific add-on property tax in newer subdivisions. Funds schools, parks, roads, utilities developers can't fund from base property tax. Typically 0.5-2% of property value annually for 20-40 years. Hidden from sellers unwilling to disclose — always ask before buying.
CFD History (1982 Mello-Roos Act)
Created 1982 to fund infrastructure in new developments after Prop 13 (1978) capped base property taxes at 1%. Allows local agencies to bond against future tax revenue. Common in Inland Empire, Sacramento, San Diego newer developments.
Disclosure + Buyer Defense
California law requires CFD disclosure on TDS form. Buyers often miss the small print. Some sellers/agents shrug it off. Always pull preliminary title report + tax records to verify Mello-Roos amount AND duration before close.
Pay-Off Strategy
Most Mello-Roos can be paid off early via lump sum (typically $30,000-$80,000). Calculate: pay-off amount × time value vs annual saving = decision. Often poor ROI to pay off unless planning to sell soon (buyer values lower-tax property higher).
Last updated May 2026. Sources: CDTFA CA.