What do the CFD assessments mean for my property?
Because the lien is placed on the property and not the owner, the assessment is not required to be paid off if the property is sold or refinanced. However, the lien allows for the CFD to collect the assessment first in the event of a foreclosure or bankruptcy, ahead of a mortgage company or bank. The developers of the CFDs have found lenders that will finance the purchase of the CFD properties and are willing to take second position to the assessment. However, many mortgage companies do not like to take second position on the lien of a property. Therefore, if the home is subsequently sold or refinanced, the new mortgage company or title company may require that the assessment be paid in full before they will finance the property.
| |
Original Assessment per Property |
Original Bond Issuance Date
|
Final Tax Payment Due Date
|
| Eastmark No. 1 SAD 1 |
$3,500 |
6/11/13 |
7/1/38 |
| Eastmark No. 1 SAD 2 |
$3,500 |
7/15/14 |
7/1/39 |
| Eastmark No. 1 SAD 3 |
$3,500 |
4/2/15 |
7/1/39 |
| Eastmark No. 1 SAD 4 |
$2,500 |
11/5/15 |
7/1/40 |
| Eastmark No. 1 SAD 5 |
$3,500 |
3/8/16 |
7/1/40
|
| Eastmark No. 1 SAD 6 |
$2,000
|
3/30/17
|
7/1/41
|
| Eastmark No. 1 SAD 7 |
$3,500
|
12/7/17
|
7/1/42
|
| Eastmark No. 1 SAD 8 |
$3,500 |
2/15/18 |
7/1/42 |
| Eastmark No. 1 SAD 9 |
$2,000 |
5/30/18
|
7/1/42
|
| Eastmark No. 1 SAD 10 |
$3,500 |
1/10/19
|
7/1/42 |
| Eastmark No. 1 SAD 11 |
$3,500 |
11/15/18
|
7/1/43
|
| Eastmark No. 1 SAD 12 |
$3,500 |
1/14/21 |
7/1/45 |
| Eastmark No. 2 SAD A |
$3,500 |
2/27/20 |
7/1/44 |
| Cadence SAD 1 |
$3,500 |
7/10/19 |
7/1/43 |
| Cadence SAD 2 |
$3,500 |
7/10/19 |
7/1/43 |
| Cadence SAD 3 |
$3,500 |
7/7/20 |
7/1/45 |
What are these CFD charges on my property tax bill?
There are two CFD taxes on your Maricopa County property tax bill. The first is a flat assessment on each parcel, which is amortized over 25 years. These charges are listed as “(CFD Name) Assessment Area #” on your property tax bill. This assessment may be paid off in one lump sum at any time (though not required). We do not allow partial payoffs.
The second is a combination of the Operating and Maintenance charge and the general obligation bond charge allocated to each property. These charges are listed as “(CFD Name) CFD” on your Maricopa County property tax bill and will be reevaluated and reassessed each year. This is also known as a secondary property tax that will be charged indefinitely based on the operating and financing needs of the CFD and cannot be paid off.
How much is the CFD property tax and how is it calculated?
Property taxes are calculated utilizing the tax rate per $100 of Limited Property Value (LPV) of the property as determined by the Maricopa County Assessor.
For example: A house sold for $421,478 and Maricopa County assessed the Primary valuation of the home at $301,146. Maricopa will re-evaluate each property and adjust the valuation every year. The Limited Property Value (LPV) was calculated at 10% of this number for a result of $30,115.
Assuming a tax rate of $2.81 per $100 of LPV, or $2.81 x $301.15, the CFD tax on this home is $846.23. The total taxes assessed on this home will include CFD property tax, CFD Special Assessment, and all other Maricopa and Special Assessments billed through Maricopa County.
How much is the Special Assessment each year?
Search for your property
Click on the Account ID link next to your listing. In the account information heading navigation, choose Repayment Schedule (you can choose original or current amortization schedule).
Also on the Maricopa County Assessor website, if you go to "VIEW 20xx TAX DETAILS", you can see how much was assessed.
How do I pay for the Assessment Area charge and/or the CFD charge on my property tax bill?
Homeowners should remit full payment for the amount charged on your annual property tax bill to Maricopa County. Payments should be sent to the Maricopa County address referenced on your bill. If your property tax is remitted through your mortgage escrow account, you will NOT need a separate payment for the CFD charges.
The Maricopa County Treasurer’s Office will in turn remit the portion related to the Assessment Area and the CFD charge to the CFD c/o the City of Mesa.
Can I pay off the entire assessment amount early?
Yes, the assessment can be paid off at any time. However, it is not required to be paid off if the property is sold or refinanced. The assessment charge is a flat amount plus applicable interest.
If you would like a payoff quote for your assessment, please email Districts@mesaaz.gov. Applicable interest through the next bond payment date will be applied. Administrative fees may also apply. We do NOT accept partial payoffs.
For detailed information on the assessment for your property, or to obtain an estimated payoff quote, please use our property search.
What happens if I sell or refinance my property?
Because the lien is placed on the property and not the owner, if the property is sold or refinanced, Eastmark CFD and the City of Mesa do not require an immediate payoff. However, the new mortgage company or title company may require that the assessment be paid in full before they will finance the property.
Are you a Realtor, Mortgagor or Title Company?
The most common misconception regarding Mesa’s CFD assessments is that they must be paid off when a property is sold or refinanced. We are happy to provide a payoff quote as part of the closing process, but we do not require the assessment to be paid off during this process. Please see “What happens if I sell or refinance my property?”
In most cases, the CFD annual installments are included as part of the Maricopa County property tax billing under Special Tax Districts, listed as “(CFD Name) Assessment Area #”. If a property owner in the CFD has become delinquent on paying their CFD taxes to Maricopa County, it is possible that they have been taken off the Maricopa County tax roll and billed directly by the CFD. If you don’t see the assessment listed on their taxes, then there could be a delinquency issue, or the assessment could have already been paid off.
What happens if my CFD taxes are not paid on time?
Delinquency letters will be sent to the address on file with Maricopa County to let you know that your parcel is delinquent and your CFD taxes need to be paid. If your CFD taxes become delinquent and are not paid by the deadline given by the CFD in your delinquency letter(s), your parcel will be taken off the Maricopa County tax roll for the assessment portion of the CFD taxes.
You will be billed directly by the CFD for the CFD annual installments the following tax year. If payment is made on time to the CFD for the annual installments, your parcel will go back on the Maricopa County tax roll the following year and following regular billing procedures again.