CDD Fees in Boynton Beach: A Simple Buyer’s Guide

Heard about CDD fees while home shopping in Boynton Beach and not sure what they mean for your budget? You are not alone. Many buyers learn about Community Development Districts late in the process and scramble to understand how they affect payments and closing. In this simple guide, you will learn what a CDD is, how the fees work, where to find the exact amounts for a specific home, and how lenders look at them so you can plan with confidence. Let’s dive in.

What a CDD is in Florida

A Community Development District is a local, special-purpose government that plans, finances, builds, and maintains community infrastructure for a development. Think roads, stormwater systems, landscaping, parks, and clubhouses. CDDs are created and governed under Florida law. You can read the framework in Florida Statutes, Chapter 190.

Developers often use CDDs to fund big upfront costs for a new community by issuing public bonds. Property owners within the district repay those bonds and help cover ongoing maintenance through assessments. A CDD has a board of supervisors and the power to levy assessments and manage public improvements.

Types of CDD fees

CDD charges usually fall into two buckets.

• Capital assessments. These repay bonds used to build initial infrastructure. A capital assessment can be due as a lump sum at closing or billed in annual installments, depending on the district’s structure and your contract terms.
• Operations and Maintenance (O&M) assessments. These are recurring yearly charges that fund day-to-day costs like landscaping, pools and clubhouses, security, utilities for common areas, insurance, and administration.

The exact mix depends on the district. Some communities have both a remaining capital balance and an annual O&M line item. Others only carry O&M after bonds are paid down.

Where CDD fees appear

In Palm Beach County, many CDD assessments are placed on the county property tax bill as non-ad valorem assessments. The county tax collector then collects them along with your ad valorem property taxes. You can review how property tax bills work on the Palm Beach County Tax Collector’s property taxes page.

Some districts bill O&M directly to owners rather than through the tax bill. Capital assessments may also be collected at closing if your contract or the district’s structure requires it. If an assessment is not paid, it becomes a lien on the property under state law.

How CDDs affect your loan and budget

CDD costs change your monthly and annual carrying costs. They are separate from HOA dues and property taxes and often exist alongside an HOA.

Lenders consider recurring assessments when qualifying you for a mortgage. Underwriters look at annual O&M and any required special assessments as part of your monthly obligations. Some lenders allow CDD O&M assessments to be included in escrow, while others require you to pay them directly. For a plain-language description of escrow accounts, review the CFPB’s explanation.

Large one-time capital assessments may need to be paid at closing. Whether you or the seller pays is negotiable and should be addressed in your contract. If a large assessment is due, your lender will want clarity early so it does not disrupt underwriting.

How to find the exact CDD amount

There is no single CDD number for Boynton Beach. Amounts vary by community based on bond debt, amenities, and current budgets. Here is how to get precise figures for a specific home:

1. Ask for recent tax bills. Request the last one or two years of tax bills from the seller or listing agent. Look for any non-ad valorem assessments and note the CDD line items and amounts.

2. Check county records. Use the Palm Beach County Property Appraiser’s parcel search to identify taxing authorities tied to the parcel. Then review the property’s most recent bill through the Tax Collector site to see actual CDD charges.

3. Order a CDD estoppel letter. The estoppel from the district or its manager is the most authoritative snapshot. It lists current annual O&M, any capital balance, prepayment options, and amounts due at closing. Request it early in due diligence and check the validity window.

4. Review district budgets and minutes. District financials and meeting minutes are public records. They show assessment history, reserve levels, and planned projects that might affect future fees.

5. Confirm with your lender. Share the estoppel with your lender so underwriting can account for the correct recurring costs and identify any one-time balances.

Buyer checklist and timeline

Use this simple roadmap to avoid surprises.

Pre-offer

• Ask the listing agent if the home is in a CDD and request recent tax bills and any CDD documents.
• Plan to budget for CDD O&M in addition to your mortgage, taxes, insurance, and HOA dues.
• Include contract language that clearly states who pays any capital assessment at closing.

After contract

• Order the CDD estoppel letter right away. Verify annual O&M, any capital balance, prepayment rules, and amounts due at closing.
• Review the district’s current budget, bond schedule, and recent meeting minutes for potential fee changes.
• Confirm with your lender whether recurring CDD amounts will be escrowed or paid directly.
• Check the county bill for past-due balances and confirm how the CDD is collected.
• Talk with a tax advisor about deductibility questions that apply to your situation.

At closing

• Make sure the closing statement reflects payoff or proration of any capital assessment per your contract.
• Confirm the latest estoppel has been received and that any interim charges are accounted for.
• Verify how your lender will handle CDD payments going forward.

Red flags to review

Approach these items with care and extra questions.

• Large outstanding bond debt per parcel with little disclosure on repayment timelines.
• Recent or proposed O&M increases without clear budget detail.
• Vague estoppel information or a short validity period that makes scheduling tight.
• Past-due CDD balances or recorded liens on the parcel.

If you see any of the above, escalate questions to the district manager, your title company, and your lender before you remove contingencies.

Boynton Beach context

Boynton Beach includes several master-planned communities with lakes, trails, clubhouses, pools, and private roads. Many of these neighborhoods use CDDs to build and maintain that infrastructure. The most reliable first stops to research a home are the Palm Beach County Property Appraiser’s site for parcel details and the Palm Beach County Tax Collector for the latest property tax bill and non-ad valorem assessments.

Because CDDs vary by district, you will want to confirm the exact numbers for each home you consider. In some communities, assessments are modest, in the hundreds per year. In others with extensive amenities or remaining bond debt, they can reach into the thousands per year. The estoppel and the most recent tax bill will show the precise amounts and how they are collected.

Key takeaways for Boynton Beach buyers

• Confirm CDD status early and plan for the cost in your budget.
• Use the estoppel letter and county bill to verify exact amounts and any capital balance.
• Decide upfront who pays any capital assessment and put it in the contract.
• Share the numbers with your lender so underwriting goes smoothly.
• Monitor district budgets and minutes for changes that could affect future assessments.

If you want help pulling the right documents, clarifying what they mean, and negotiating clean terms, reach out. You will get clear guidance, local context, and a smooth path from offer to closing with Amie Calia.

FAQs

What are CDD fees in Boynton Beach?

• They vary by district and home; use the estoppel and recent tax bills to confirm the exact annual O&M and any capital balance for the specific parcel.

How do I check if a Boynton Beach home has a CDD?

• Review recent tax bills for non-ad valorem assessments and search the parcel on the Palm Beach County Property Appraiser site, then request a CDD estoppel.

Who pays the CDD capital assessment at closing in Florida?

• It is negotiable; specify responsibility in the purchase contract and verify the amount and timing in the CDD estoppel.

Are CDD fees the same as HOA dues?

• No; CDD assessments fund public infrastructure and maintenance by a special district, while HOA dues fund association governance and private amenities.

Will my lender escrow CDD assessments?

• Some lenders escrow recurring O&M while others require direct payment; share the estoppel early so underwriting can decide and qualify you correctly.

Can I prepay CDD assessments in Palm Beach County?

• Many districts allow prepayment of capital balances; the estoppel or bond documents will show whether prepayment is allowed and how it changes future charges.

Are CDD fees tax deductible?

• Tax treatment varies by the type of assessment and your personal situation; consult a tax advisor for guidance.