California Real Estate Practice Exam

What must be disclosed to a prospective purchaser regarding Mello-Roos assessments?

1. Nothing, as they are considered public information

2. Must be disclosed

3. Only disclosed upon direct inquiry

4. Only if it affects the property value

The correct answer is: Must be disclosed

Mello-Roos assessments must be disclosed to a prospective purchaser, as they are considered an important factor in the decision to purchase a property. These assessments are an added tax on top of the regular property taxes and can significantly affect the cost of owning a property. Therefore, it is important for a purchaser to be aware of any Mello-Roos assessments before making a decision to buy a property. Option A is incorrect because Mello-Roos assessments are not automatically considered public information. Option C is incorrect because sellers are required to disclose any known Mello-Roos assessments, regardless of direct inquiry. Option D is incorrect because Mello-Roos assessments should be disclosed regardless of their direct effect on the property value.