Page 6 - ABHR MUD BOOK 2022

performance, there would be no inducement and both the housing market and
economy would suffer.

Affordability remains at the heart of the continued success of the Texas housing market.
MUD financing results in low home prices for consumers by allowing for the
amortization of infrastructure costs. All of this occurs under the purview of a locally
elected board of directors that is subject to more oversight and regulation than any
other political subdivision in the State. MUDs represent a true public/private
partnership that is representative of what happens when policy makers allow the

private sector to inject capital into the market and put their expertise to work.
Measuring the success of this model is as simple as looking at the millions of Texans
who consciously choose to live in MUDs. They have “voted with their feet,” enticed
not only with the attractive initial home prices and quality construction, but also the
additional amenities that are typically associated with MUD developments and the
slow, but steady appreciation in home values that are regularly realized.

MUDs are a unique tool of development that have allowed for the consistent injection of
private equity into our housing market. They provide a form of highly regulated local
control that allows for neighbors to oversee their own best interests. MUDs have
positively contributed to the economic momentum of our State in creating more
affordable options for its citizens. As such, MUDs are good for the State of Texas.

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