How can I find out if a property I want to buy is located in a Mello-Roos district or subject to other special tax assessments in California?

You can determine if a property has Mello-Roos or other special taxes by carefully reviewing the seller's legally required disclosure documents and independently verifying the information with the county tax collector. Here is how to find out about these special assessments: Step 1: Review the Seller's Disclosure Packet During the escrow process, the seller must provide you with a set of disclosure documents. Look specifically for the Natural Hazard Disclosure (NHD) Report and a document titled "Notice of Special Tax." Under California Civil Code Section 1102.6b, the seller must disclose if the property is in a special tax district. If it is in a Mello-Roos district, you must receive the specific notice detailing the tax amount, services funded, and rate of increase. Step 2: Examine the Preliminary Title Report The title company will issue a preliminary title report. Read this document carefully, as it will list any special tax assessments and bond obligations recorded as liens against the property. These will typically appear in the "Exceptions" section of the report. Step 3: Analyze the Current Property Tax Bill Ask your real estate agent to obtain a copy of the seller’s most recent property tax bill. Special assessments are itemized separately from the general property tax. Look for line items labeled "Mello-Roos" or "CFD" (Community Facilities District), as well as any other local bonds or assessments. Step 4: Contact the County Tax Collector's Office For direct verification, call or visit the website for the tax collector's office in the county where the property is located. You will need the property's Assessor's Parcel Number (APN), which is on the tax bill and title report. The office can confirm all tax districts the property belongs to and provide details on the amounts and payment terms. Important considerations: A Mello-Roos tax is a significant financial obligation that can last for 20 to 40 years and can increase over time. It is paid in addition to your regular property tax. Understanding the exact annual cost and the remaining duration of the tax is critical for evaluating the property's affordability. Note: Never rely solely on verbal statements from the seller or agents regarding taxes. Your review of the official disclosure documents, title report, and direct confirmation from the county are the most reliable methods for discovering these assessments. This is general information and does not constitute legal advice. For complex situations, consult with a qualified California attorney.