Bulletin: MD2025002

Dear Associates:

This bulletin is a summary of legislation changes made by the 2025 Maryland General Assembly relating to real property.

SB 0550 Baltimore City - Property Tax - Authority to Impose on Vacant and Abandoned Property Owned by Nonprofit Organizations Effective  - June 1, 2025

Authorizing the Mayor and City Council of Baltimore City to impose, by law, the general property tax rate and a certain special property tax rate on vacant and abandoned property owned by certain nonprofit organizations that would otherwise be exempt from property tax under certain provisions of law; and applying the Act to all taxable years beginning after June 30, 2025.

HB 0012 Cannabis - Sale and Distribution - Tetrahydrocannabinol Offenses- effective July 1, 2025

Authorizing the officers and employees of the Field Enforcement Division of the Alcohol, Tobacco, and Cannabis Commission to issue a citation for a violation of §10-108 of the Criminal Law Article; prohibiting the sale or distribution of certain products that contain tetrahydrocannabinol or are advertised as containing tetrahydrocannabinol; authorizing the Executive Director of the Commission to seize, destroy, or confiscate a certain unlawful product; etc.

HB 0955 Tax Sales - Homeowner Protection Program - Funding and Alterations - effective July 1, 2025

Requiring each collector of taxes that maintains a website to include on the collector's website certain information and a certain link relating to the Homeowner Protection Program; altering the information the State Department of Assessments and Taxation is required to obtain and include in a certain annual report regarding tax sales; requiring the State Tax Sale Ombudsman to take certain actions to maximize enrollment in the Homeowner Protection Program; etc.

HB 2004 Restrictions on Use - Solar Collector Systems - effective October 1, 2025

Prohibiting a restriction on land use that increases the cost of installing a solar collector system by at least 5% over a certain cost or that reduces the efficiency of the system by at least 10% under a certain energy generation level; authorizing a community association to impose certain restrictions on the installation of solar collector systems in common areas or common elements; authorizing a community association to install a solar collector system in common areas or common elements under certain circumstances; etc.

HB 0027 Estates and Trusts - Compensation of Guardians of Property and Trustees - effective October 1, 2025

Clarifying the commissions that a guardian of the property may charge; authorizing a trustee of a trust to charge compensation that is reasonable under the circumstances; and authorizing trustees who are financial institutions or members of the Maryland Bar to charge compensation that is reasonable under the circumstances and calculated in accordance with a schedule of rates filed with an appropriate agency.

HB 0124 Residential Property - Assignment of Contracts of Sale - Disclosure Requirements and Rescission - effective October 1, 2025

Authorizing a seller or assignee of certain residential property to rescind a contract of sale without penalty at any time before closing if a certain seller does not provide a certain notice; establishing that an assignee is entitled to a refund of any deposit paid in connection with the assignment of a contract of sale of the residential property under certain circumstances; requiring that a contract of sale comply with the requirements of the Act; and applying the Act prospectively.

HB 0146 Estates and Trusts - Resignation of Trustee - Notice - effective October 1, 2025

Authorizing the trustee of a trust to resign under the Maryland Trust Act on 30 days' notice to qualified beneficiaries, the settlor, if living, all co-trustees, and any person that has a right to replace or appoint a successor to the resigning trustee.

HB 0261 Estates and Trusts - Priority of Claims on an Estate - Unpaid Child Support effective October 1, 2025

Prioritizing the payment of unpaid child support over certain other claims on an estate of a decedent with insufficient assets to pay all claims in full.

HB 0261 Real Property - Recordation and Land Records - Requirements - effective October 1, 2025

Altering certain provisions relating to the filing, maintenance, and transmittal of land records; and defining "land record" as any document recorded by a clerk of the circuit court relating to property.

HB 0428 Medical Debt - Complaints for Money Judgment and Real Property Liens - effective October 1, 2025

Establishing certain requirements for a complaint for a money judgment; defining "medical debt" as a debt owed by a consumer to a provider of medical services, products, or devices, but does not include debt charged to a credit card except under certain circumstances; prohibiting the creation of a lien on owner-occupied residential property by contract or as a result of a breach of contract for the payment of medical debt; and applying the Act prospectively.

HB 0767 Real Property - Landlord and Tenant - Procedures for Failure to Pay Rent, Breach of Lease, and Tenant Holding Over - effective October 1, 2025

Requiring a landlord to provide certain notice to a tenant when a court has issued a warrant of restitution for a failure of a tenant to pay rent, a breach of lease, or a tenant holding over under certain circumstances; establishing certain procedures and requirements for the execution of a warrant for repossession; establishing that the Act does not restrict the authority of the State or a local jurisdiction to enact or enforce certain legislation; applying the Act prospectively; etc.

HB 0796 Real Property - Filing Fee for Residential Mortgage Foreclosure - Increase- effective October 1, 2025

Increasing the filing fee required to accompany an order to docket or a complaint to foreclose a mortgage or deed of trust on residential property from $300 to $450.

HB 0872 Residential Real Property - Tenants' Right of First Refusal - effective October 1, 2025

Clarifying the circumstances under which liability for the failure to comply with certain requirements relating to a tenant's right of first refusal to purchase residential property is restricted to the owner of the property and does not attach to the property.

HB 1018 Financial Institutions - Conventional Home Mortgage Loans - Assumption and Required Disclosures - effective October 1, 2025

Requiring banking institutions, credit unions, mortgage lenders, mortgage lending businesses, and mortgage loan originators to include a certain provision in certain conventional home mortgage loans authorizing a certain borrower to purchase the property interest of a certain borrower in connection with a decree of absolute divorce if the lending entity determines that the assuming borrower qualifies for the loan; applying certain provisions of the Act retroactively; etc.

HB 0066 Real Property - Recordation and Land Records - Requirements effective October 1, 2025

Altering certain provisions relating to the filing, maintenance, and transmittal of land records; and defining "land record" as any document recorded by a clerk of the circuit court relating to property.

SB 0513 Real Property - Unlawfully Restrictive Covenant Modifications - County or Municipality Notice Requirements - effective October 1, 2025

Altering notice requirements relating to the recordation of a restrictive covenant modification to an unlawfully restrictive covenant by authorizing a county or municipality to provide notice by publication in one or more newspapers of general circulation in the county or municipality where the property is located once per week for 4 successive weeks and on the official website of a county or municipality where the property is located.

HB 0059 Property Tax - Tax Sales - Revisions - effective January 1, 2026

Authorizing a tax collector to withhold from tax sale certain property occupied by an heir of a deceased owner of the property; requiring that certain owner-occupied property and certain property occupied by an heir of a deceased owner of the property be withheld from tax sale; requiring each county to establish a registry for interested parties or the Tax Sale Ombudsman to designate property to be withheld from tax sale; requiring the State Department of Assessments and Taxation to assist each county in creating and maintaining the registry; etc.

HB 0790 Property Tax - Payment Plans - Notice to Taxpayers - effective May 1, 2027

Requiring the State Tax Sale Ombudsman to include certain information concerning a certain State installment payment program for property taxes on the Ombudsman's website; requiring the Ombudsman to contract with a vendor to operate an installment payment program for payment of taxes in which any homeowner may enroll; requiring a collector of taxes to include certain information concerning a certain State or local installment payment program for property taxes in a separate insert included with each property tax bill; etc.

If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.

For on-line viewing of this and other bulletins, please log onto www.vuwriter.com.