CDD Fees In Ormond Beach Explained

Looking at homes in Ormond Beach and seeing a “CDD fee” on the listing or tax bill? You are not alone. In Florida, Community Development Districts are common in newer and master-planned communities, and the fees can be confusing at first glance. In this guide, you will learn what CDD fees are, how they work, how to confirm exact amounts for a specific Ormond Beach property, and what they mean for your budget or sale. Let’s dive in.

CDD basics in Florida

A Community Development District (CDD) is a public, special-purpose unit of local government created to plan, finance, build, and maintain infrastructure and community facilities. Think roads, stormwater systems, landscaping, lighting, and sometimes clubhouses or recreation. These districts are created and governed under Florida law, primarily Florida Statutes Chapter 190.

A CDD board can issue bonds to fund construction, then levy assessments on properties within the district to repay that debt and cover ongoing operations. CDD assessments are non-ad valorem governmental assessments, which means they are not the same as property-value-based taxes and are not HOA dues. An HOA can still exist alongside a CDD and charge separate dues for covenant enforcement or HOA-managed amenities.

If you are familiar with other states, CDDs function similarly to special tax districts, such as California’s Mello-Roos, but follow Florida’s Chapter 190 framework with public meetings and elected boards.

How CDD fees work

Two parts: debt service and O&M

• Bond debt service assessments. These repay bonds used to build infrastructure. They often make up the largest share of the annual CDD fee while bonds are outstanding. Terms vary, but bonds commonly run 15 to 30 years. Allocation can differ by unit type, so a single-family lot might pay a different amount than a condo.
• Operation and Maintenance (O&M) assessments. These fund the ongoing costs to run and maintain the district. Items can include landscaping, pond and stormwater maintenance, pool or clubhouse staffing, insurance, utilities, and district administration. O&M assessments continue as long as the district operates.

Billing and collection

Each district adopts an annual budget and assessment roll that sets the per-parcel charges for the year. In Volusia County, many CDD assessments appear as non-ad valorem line items on your annual property tax bill and are collected by the county tax collector. In other cases, a district may bill you directly. Unpaid assessments are liens on the property.

Amounts vary by community

CDD fees in Florida can range widely. Some districts charge a few hundred dollars per year, while others with larger bonds or robust amenities can be several thousand per year. The exact charge depends on bond amounts still outstanding, how many homes share the cost, the size of the annual O&M budget, and any special assessments. Because there is so much variation, always review the current year’s adopted budget and assessment roll for the specific district.

Prepayment and payoff

In some districts, you can prepay or fully pay off the bond-related portion of your assessment. Procedures and costs are governed by the district’s bond documents and the bond trustee. You will typically need a formal payoff statement from the district or trustee. O&M assessments will continue each year to fund operations.

Ormond Beach specifics: how to confirm fees

When you are evaluating a home in Ormond Beach, use these steps to verify whether it is in a CDD and what the exact current-year charges are.

Start with county records

• Volusia County Property Appraiser. Search the parcel to see recorded information and special district indicators. Parcel pages and GIS layers can show special district overlays. Request help if you do not see it clearly.
• Volusia County Tax Collector. Review the most recent tax bill for non-ad valorem assessments. If the CDD is collected on the tax bill, it will list the district name and the amount for that tax year.

Go straight to the district

• District website or manager. Districts publish adopted budgets, assessment rolls, and meeting minutes. The adopted assessment roll shows the per-parcel amounts for the current fiscal year and how they split between debt service and O&M.
• Florida’s special district directories. Use the statewide directories to identify the district name and manager contact for more details. The Florida Special Districts Association provides general information and links to many district resources. You can also locate statutory background in Florida Statutes Chapter 190.

Confirm during due diligence

• Title and closing documents. Title commitments and closing disclosures typically reflect outstanding assessments and how they will be prorated at closing.
• Seller disclosures and listing details. These often note if a property is in a CDD, but you should still verify the exact amount, billing method, and any planned changes with official documents.

Pro tip: Ask the district manager for the current “adopted assessment roll” and “adopted budget” for the fiscal year in which you will close. Those documents are the most reliable source for the dollar amounts.

What CDD fees mean for buyers

Budgeting and loan qualification

CDD assessments are recurring housing costs, similar to taxes and HOA dues. Lenders include them when calculating your debt-to-income ratio, so they can affect how much you qualify to borrow. If your lender escrows property taxes, they may also escrow for CDD assessments. Ask your loan officer early in the process how your program treats CDDs.

Due diligence to request

• Current-year adopted assessment roll for the parcel.
• Current adopted budget, with the split between debt service and O&M.
• Confirmation of where the assessment is billed (on the tax bill or direct billing).
• Recent meeting minutes to spot any planned increases or special assessments.
• If you plan to prepay the bond portion, request payoff instructions and a formal payoff quote.

Resale and marketability

High assessments can influence buyer demand and pricing. This is especially relevant if you are relocating from outside Florida and are not expecting a separate government assessment. Understanding the fee and the value of the infrastructure or amenities it supports will help you make a confident decision.

What CDD fees mean for sellers

Clear disclosure builds trust

Be upfront in your listing and seller disclosures if your property is in a CDD. Provide buyers with the current assessment amounts and billing method. Clear information reduces surprise and can keep a deal on track.

Negotiation options

You may offer a price adjustment or a closing credit to address buyer concerns about assessments. In rare cases, a seller may consider paying off the bond portion, but this requires coordination with the district manager and bond trustee and may not be feasible on short timelines. If you are exploring payoff, start early and obtain a formal payoff statement.

Title, proration, and timing

Confirm with your title company how the current year’s assessment will be prorated between buyer and seller. If the district bills directly rather than through the tax bill, confirm payment cycles and any outstanding balances to avoid delays.

Red flags to watch

• Large upcoming special assessments or unusually high bond-per-unit amounts.
• Rapidly rising O&M budgets that may lead to higher future assessments.
• Unclear payoff procedures or limited availability of district documents.
• A developer-controlled board late in the build-out phase, which can limit resident input until transition.

Quick checklist for your file

Before you write an offer or list your home, gather:

• The CDD name and district manager contact.
• The current adopted budget and adopted assessment roll.
• The current-year amount for both debt service and O&M, with billing method and schedule.
• Any planned special assessments or budget changes noted in recent minutes.
• Payoff procedure and bond trustee contact if considering a bond payoff.
• Meeting minutes for the last 12 to 24 months to identify upcoming projects.

Questions to ask the district manager:

• What is the exact annual assessment for this parcel this fiscal year, and how is it split between debt service and O&M?
• Will the assessment appear on the county tax bill or be billed directly?
• Are any special assessments or budget increases planned?
• Is there outstanding bond debt tied to this parcel? If so, how is it allocated, and who is the bond trustee for payoff instructions?
• How are assessments allocated across different unit types in the district?

Work with a local guide

CDD fees are manageable once you understand how they work and how to verify the numbers. With the right documents in hand, you can budget accurately, negotiate with confidence, and avoid surprises at closing. If you are weighing neighborhoods across Ormond Beach and the surrounding coastal communities, having a local expert by your side makes a difference.

If you are planning to buy or sell, reach out to schedule a conversation with Goodman Group Luxury Real Estate. We will help you make sense of the numbers, align your plan with your lifestyle goals, and move forward with clarity.

FAQs

What is a CDD fee on a Florida home?

• It is a non-ad valorem assessment levied by a Community Development District to repay infrastructure bonds and fund ongoing operations under Florida Statutes Chapter 190.

How do I check if an Ormond Beach property has a CDD?

• Review the parcel on the Volusia County Property Appraiser site, check the current tax bill for non-ad valorem assessments, and confirm details with the district’s adopted assessment roll.

Where do I find the exact CDD amount for my address?

• Request the district’s current adopted assessment roll and budget, and compare with the most recent tax bill if the assessment is collected through the county tax collector.

Can I pay off my CDD fee in Ormond Beach?

• You may be able to prepay or fully pay off the bond-related portion, but you will need a formal payoff statement from the district or bond trustee; O&M assessments continue annually.

Do CDD fees end at some point?

• The debt service portion ends when bonds are fully repaid, but the O&M portion continues each year to fund district operations and maintenance.

How are CDD fees different from HOA dues?

• CDD fees are governmental assessments for district infrastructure and operations, while HOA dues fund association-managed services and covenant enforcement; many communities have both.