SB 812 modifies Maryland's homeowners' property tax credit by raising the income eligibility threshold from $60,000 to $100,000 in the preceding calendar year and adjusting the credit calculation structure. The bill now applies 0% to the first $15,000 of combined income, 3% to the next $7,500, 6% to the following $7,500, and 9% to income exceeding $30,000. This change directly affects Maryland homeowners with combined gross income up to $100,000 who qualify for the credit. The bill takes effect for tax years beginning after June 30, 2026.
SB 765 creates an "Heirs Protection Program" administered by Maryland's State Tax Sale Ombudsman to protect heirs who inherit homes from property tax sales. It allows heirs (including those not yet recorded as title holders) to become the legal owner of an inherited dwelling, preventing tax sales and enabling them to remain in their homes. The bill establishes an Heirs Protection Fund financed by state and county governments to support the program, including outreach, grants, and information dissemination. It also expands eligibility for homeowner and homestead tax credits to include qualifying heirs who haven’t yet updated land records, under specific conditions. These changes aim to prevent displacement of families after a homeowner’s death.
HB 805, the Building Homes Act, creates a property tax credit for affordable homes in Maryland. It allows Baltimore City or county/municipal governments to offer tax credits against property taxes for dwellings with mortgages from nonprofit lenders and a 20-year agreement ensuring affordable pricing (including resale restrictions). The credit equals the difference between taxes on the home's full value and the portion covered by the homeowner's first mortgage. This directly affects homeowners in nonprofit-managed affordable housing units, reducing their annual property tax burden starting June 1, 2026.
HB 1213 lowers Maryland's transfer tax rates for specific affordable housing properties to increase housing accessibility. It creates a new "deed-restricted property" category requiring 15% of units to be affordable to households earning ≤80% of the area median income (defined as housing costing ≤30% of income). The bill reduces tax rates for these properties: 0.25% (under $1M), 0.375% ($1M-$10M), and 0.5% ($10M+) versus standard rates for similar properties. It also adds a 0.5% tax rate for transfers involving certain low-income housing tax credit developments, directly benefiting first-time homebuyers and affordable housing developers.
HB 1098 expands bankruptcy exemptions for Maryland residents by including residential property held in a revocable trust as eligible for protection. It increases the exemption cap for individuals aged 60+ with disabilities or veteran status to $300,000 (adjusted annually for inflation), while maintaining a $150,000 cap for other filers. The law automatically adjusts these amounts each year based on the Consumer Price Index, rounded to the nearest $25. This directly affects Maryland bankruptcy debtors owning homes - either directly or through revocable trusts - who qualify under the new or adjusted exemption thresholds.
HB 826 freezes increases to the assessed value of residential property in Maryland for taxable years 2026 through 2028. It directly affects homeowners by preventing local governments from raising property tax assessments based on market value during this period, unless specific exceptions apply. These exceptions include zoning changes initiated by the owner, significant improvements adding at least $100,000 in value, changes in property use, or errors in calculation. The bill does not alter tax rates or affect commercial properties, only limiting assessment increases for residential homes.
HB 753 would require Maryland's State Tax Sale Ombudsman to create a process allowing homeowners to designate family members or representatives to handle tax sale matters on their behalf. It mandates that dwellings be withheld from tax sale if the homeowner has a physician-documented terminal illness or medical hardship. The bill also increases the maximum home value eligible for the Homeowner Protection Program and grants priority enrollment in the program to homeowners with terminal illness or medical hardship. These changes directly affect Maryland homeowners facing tax sale proceedings, particularly those with serious health conditions or limited capacity to navigate the process.
HB 1452 establishes the Suitland Development Authority in Prince George’s County to revitalize the Suitland Road and Silver Hill Road intersection area, which has faced decades of underdevelopment and blight. The Authority will create neighborhood revitalization plans with resident input, modify project boundaries (subject to a vote), manage finances, and operate tax-exempt under certain conditions. It directly affects residents and businesses in this specific neighborhood by aiming to boost economic activity, reduce unemployment, retain existing businesses, and increase property tax revenue for the county and state. The bill creates a new government entity focused on targeted neighborhood redevelopment, not broader policy changes.
This bill authorizes Wicomico County or its municipalities to grant a property tax credit against local property taxes for real estate owned by Salisbury Neighborhood Housing Services, Inc. (SNHS), specifically for properties SNHS intends to transfer to private owners within a near future. The credit applies only to properties used for development, rehabilitation, and transfer to private owners, excluding administrative or warehouse buildings owned by SNHS. SNHS must submit annual reports detailing all its property holdings and transactions in the jurisdiction granting the credit. The credit becomes effective for taxable years beginning after June 30, 2026.
HB 1308 modifies Maryland's homeowners' property tax credit program by raising eligibility thresholds. It increases the assessed value cap for qualifying homes from $300,000 to $480,000, raises the income threshold for the first tax credit bracket from $8,000 to $12,500, and raises the combined gross income limit from $60,000 to $95,000. The bill also raises the net worth limit for eligibility from $200,000 to $320,000. These changes will directly affect more middle-income homeowners who previously exceeded the lower limits, expanding access to the credit starting June 1, 2026.
