Understanding HOAs And Metro Districts In Severance
July 2, 2026
July 2, 2026
If you are shopping for a home in Severance, one of the biggest budget surprises is often not the mortgage. It is the mix of HOA dues, metro district taxes, utility charges, and neighborhood-specific fees that can vary from one subdivision to the next. When you understand how these pieces work before you buy, you can compare homes more confidently and avoid last-minute surprises. Let’s dive in.
At first glance, HOAs and metro districts can seem similar because both may affect what you pay and how a neighborhood is maintained. In Severance, though, they serve different roles and are created under different rules. Knowing which one applies to a property is one of the first questions to ask.
A homeowners association, or HOA, is a private organization that manages a common-interest community. In Colorado, HOAs typically oversee neighborhood covenants, common areas, shared amenities, rules, and dues.
Colorado law also places limits on what HOAs can restrict or require in certain areas. According to the Town of Severance and Colorado’s HOA law framework, those limits can involve things like flags, signs, xeriscape, rain barrels, solar, fire-mitigation changes, family child care homes, and reasonable disability-related modifications.
A metro district is a local government entity, not a private HOA. In Severance, metro districts are used to provide or finance infrastructure and services such as water, sewer, roads, parks, streetlights, and other public improvements.
These districts are funded through property taxes, fees, and bonds. They are governed by boards of directors, and current Colorado law requires annual meetings, public comment at budget adoption, and public-facing district information such as board contacts and website disclosures.
In newer Severance neighborhoods, the real-world difference is not always obvious from a listing. Some communities have a separate HOA. Some rely on a metro district that also handles design review or enforcement functions. Some have a metro district and no separate sub-HOA at all.
That means you should confirm exactly what governs the property before closing. A home may look similar to another home across town, but the fees, taxes, and oversight structure can be very different.
In Severance, your monthly ownership cost may include several layers beyond principal and interest. Depending on the property, you could be paying town utility charges, metro district fees, metro district-related property taxes, and charges for irrigation water or trash.
That is why two homes with similar sale prices can feel very different once you look at the full monthly cost. A smart comparison goes beyond the list price and monthly mortgage estimate.
For many town-served homes, Severance bills water, wastewater, stormwater, and transportation monthly. As of the February 2026 billing cycle, the town lists these fixed monthly charges for customers receiving all four services:
That adds up to $96.90 per month before usage. Some subdivisions are set up differently, though, so you may find water service through North Weld County Water District, septic systems, or other outside service providers depending on the neighborhood.
Water costs are especially important to verify in Severance because service arrangements can vary sharply. The town notes that some newer neighborhoods use dual water systems, with potable water for indoor use and non-potable water for irrigation.
The potable annual allotment also varies by subdivision. The town states that Tailholt has a 61,500-gallon annual potable allotment, Severance Shores and several other neighborhoods have a 68,333-gallon annual potable allotment, and some other town-served subdivisions receive 205,000 gallons.
The town also notes that its watering rules do not apply to approved non-potable irrigation systems or to areas served directly by North Weld County Water District. If outdoor water use matters to you, this is worth checking early.
The biggest takeaway for buyers is simple: neighborhood structure matters. Here are three current Severance examples from district documents that show how fees and taxes can differ.
Tailholt’s fee schedule lists a $700 annual operations and maintenance fee, billed quarterly at $175. It also lists a $300 seasonal non-potable water charge.
That means the district fees total about $83.33 per month before considering property taxes. The district’s own status letter says there is no sub-HOA, which is a clear example of a Severance neighborhood relying on the metro district rather than a separate HOA.
A Weld County property report for a sample Tailholt home shows an estimated $1,898.94 in Tailholt Metro District property tax for 2026. That tax amount works out to about $158.25 per month.
Severance Shores lists a $300 annual district fee, a $648 annual non-potable water fee, and a $260.64 annual trash fee. Together, those charges total about $100.72 per month.
According to the district billing summary, those charges help fund landscape and open-space maintenance, insurance, legal, accounting, auditing, streetlights, ARC and enforcement, snow removal on common-area sidewalks, and special projects. The trash fee is listed as a pass-through to the trash vendor.
A Weld County property report for a sample Severance Shores home shows an estimated $3,203.44 in metro district property tax for 2026. That equals about $266.95 per month.
Hidden Valley Farm’s 2026 adopted budget says homeowners will be assessed a $250 annual fee to cover the 2026 shortfall. That works out to about $20.83 per month.
The budget also lists a $100 setup or administrative fee for each home sale, a $100 transaction fee on resales, and a $40 design review fee. The district states that it funds public improvements and operations such as non-potable water, streets, landscaping, signage, monuments, lighting, safety protection, park and recreation, sanitation, and storm drainage.
A Weld County property report for a sample Hidden Valley Farm home shows an estimated $1,782.15 in Hidden Valley Farm Metro 4 property tax for 2026. That equals about $148.51 per month.
When you find a home you like, ask for details before you focus only on the purchase price. In Severance, the governing structure can affect both your monthly budget and your day-to-day ownership experience.
First, ask whether the property is in a separate HOA, a metro district, both, or neither. In some Severance communities, HOA-like functions such as design review or covenant enforcement may be handled through district documents instead of a separate HOA.
This is one of the most important questions because it shapes almost everything else. It tells you where to look for fees, rules, contacts, and disclosures.
Next, ask what the current dues or fees are, how often they are billed, and whether they are escrowed or direct-billed. Current Severance examples show quarterly, annual, and other billing structures depending on the neighborhood.
Then ask what each charge actually covers. It may include irrigation water, landscape maintenance, trash, common-area upkeep, ARC functions, enforcement, or district operations.
Property taxes are another major piece of the puzzle. Ask for the current mill levy and the estimated annual property tax for the specific parcel, along with how much of that total is tied to the metro district.
The sample Severance properties in current reports show district tax lines ranging from roughly $1,782 to more than $3,203 per year. That difference can have a meaningful impact on your monthly carrying cost.
Do not assume one provider handles everything. Severance notes that water, sewer, stormwater, irrigation, trash, and recycling may be provided by the town, a metro district, North Weld County Water District, or outside vendors depending on the area.
That means utility setup and monthly billing can look different from one home to another. It is wise to confirm each provider and each bill before closing.
If the home is in a newer area, ask whether there is a dual irrigation system or a separate non-potable water charge. The town’s builder checklist also shows that some subdivisions may involve water-share certificates, North Weld receipts, or septic permits during the permit process.
Even if you are buying a resale home, these details can help you understand how the property and neighborhood are set up. They may also explain why utility or district costs differ from another subdivision nearby.
For HOAs, key questions often include the declaration, board structure, budgets, reserve funding, enforcement practices, and rules affecting common areas and private lots. For metro districts, focus more on debt, services funded by taxes versus direct fees, annual meeting schedules, and board information.
Colorado law now expects metro districts to provide annual meeting notices, website disclosures, seller disclosure information, and public details about services and debt. Those materials can give you a much clearer picture of how the district operates.
If you are comparing homes in Severance, treat HOA and metro district costs as part of the home’s true carrying cost. They are not side notes. They are part of what it takes to own the property month to month.
This is especially important in newer neighborhoods where infrastructure, irrigation, trash, common-area upkeep, and rule enforcement may be split across multiple entities. A careful review now can help you choose the home that fits both your lifestyle and your budget.
When you want help comparing neighborhoods, reviewing the real monthly cost of ownership, or understanding what questions to ask before you buy in Severance, The Group Inc is here to help.
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