EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*hb0021*
HOUSE BILL 21
Q1 3lr0860
(PRE–FILED)
By: Delegate Atterbeary
Requested: November 17, 2022
Introduced and read first time: January 11, 2023
Assigned to: Ways and Means
A BILL ENTITLED
AN ACT concerning 1
Property Tax – Tax Sales – Notices and Payoff Amount for Redemption 2
FOR the purpose of requiring that the holder of a certificate of sale include the e–mail 3
address of certain persons in certain notices required to be sent to certain persons 4
with an interest in a property that is sold at a tax sale; authorizing the owner of 5
owner–occupied property sold at a tax sale to request the current payoff amount to 6
redeem the property; and generally relating to tax sales. 7
BY repealing and reenacting, without amendments, 8
Article – Tax – Property 9
Section 14–833(a–1)(1) 10
Annotated Code of Maryland 11
(2019 Replacement Volume and 2022 Supplement) 12
BY repealing and reenacting, with amendments, 13
Article – Tax – Property 14
Section 14–833(a–1)(3) and (5)(ii) 15
Annotated Code of Maryland 16
(2019 Replacement Volume and 2022 Supplement) 17
BY adding to 18
Article – Tax – Property 19
Section 14–833(a–1)(5)(ii) 20
Annotated Code of Maryland 21
(2019 Replacement Volume and 2022 Supplement) 22
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 23
That the Laws of Maryland read as follows: 24
Article – Tax – Property 25 2 HOUSE BILL 21
14–833. 1
(a–1) (1) The holder of a certificate of sale may not file a complaint to foreclose 2
the right of redemption until at least 2 months after sending the first notice and at least 30 3
days after sending the second notice required under this subsection to: 4
(i) the person who last appears as owner of the property on the 5
collector’s tax roll; and 6
(ii) 1. the current mortgagee of the property, assignee of a 7
mortgagee of record, or servicer of the current mortgage; or 8
2. the current holder of a beneficial interest in a deed of trust 9
recorded against the property. 10
(3) The notices required under this subsection shall include at least the 11
following: 12
(i) a statement of the fact of the issuance of a certificate of sale; 13
(ii) a copy of the certificate of sale, if the holder of the certificate of 14
sale received the certificate of sale before the notice was sent under this paragraph; 15
(iii) a statement that the owner, a mortgage holder, or any other 16
person that has an estate or interest in the property may redeem the property at any time 17
until the right of redemption has been finally foreclosed under the provisions of this 18
subtitle; 19
(iv) a statement that the holder of the certificate of sale may file an 20
action to foreclose the right of redemption at any time after 2 months from the date of the 21
first notice; 22
(v) a statement that if the property is redeemed before an action to 23
foreclose the right of redemption is filed, the amount that shall be paid to redeem the 24
property is: 25
1. the total lien amount on the property at the time of sale, 26
with interest; 27
2. any taxes, interest, and penalties paid by the holder of the 28
certificate of sale; 29
3. any delinquent taxes, interest, and penalties accruing 30
after the date of the tax sale; and 31
4. the following expenses incurred by the holder of the 32 HOUSE BILL 21 3
certificate of sale: 1
A. costs for recording the certificate of sale; 2
B. a title search fee, not to exceed $250; 3
C. the postage and certified mailing costs actually incurred 4
for the notices; and 5
D. reasonable attorney’s fees, not to exceed $500; 6
(vi) a statement that if the property is redeemed after an action to 7
foreclose the right of redemption has been filed, the amount that shall be paid to redeem 8
the property is the sum of: 9
1. the total lien amount on the property at the time of sale, 10
with interest; 11
2. any taxes, interest, and penalties paid by the holder of the 12
certificate of sale; 13
3. any delinquent taxes, interest, and penalties accruing 14
after the date of the tax sale; and 15
4. attorney’s fees and expenses to which the holder of the 16
certificate of sale may be entitled under § 14–843(a)(4) and (5) of this subtitle; 17
(vii) the provisions of § 14–843(a) of this subtitle, reproduced as they 18
appear in the Code; 19
(viii) a statement that, in Baltimore City only, the holder of the 20
certificate of sale is entitled to taxes, interest, and penalties paid in accordance with § 21
14–843(c) of this subtitle and interest at the rate of redemption under § 14–820 of this 22
subtitle from the date of payment to the date of redemption; and 23
(ix) the name, address, E–MAIL ADDRESS, and telephone number of: 24
1. the holder of the certificate of sale, or the holder’s agent or 25
attorney; and 26
2. the collector who made the sale. 27
(5) (II) 1. THIS SUBPARAGRAPH DOE S NOT APPLY IN 28
BALTIMORE CITY. 29
4 HOUSE BILL 21
2. FOR OWNER –OCCUPIED RESIDENTIAL PROPERTY, 1
PRIOR TO THE FILING OF A COMPLAINT TO FO RECLOSE THE RIGHT OF REDEMPTION , 2
AN OWNER OF PROPERTY SOLD UNDER THIS SUBT ITLE MAY REQUEST THE CURRENT 3
PAYOFF AMOUNT TO RED EEM THE PROPERTY . 4
3. A REQUEST MADE UNDER SUBSUBPARAGRAPH 2 OF 5
THIS SUBPARAGRAPH SHALL BE MADE TO THE HOLDER OF THE CERTIF ICATE OF 6
SALE BY PHONE , E–MAIL, OR OTHER CONTACT MET HOD PROVIDED BY THE HOLDER 7
TO THE COLLECTOR . 8
4. THE PAYOFF AMOUNT TO REDEEM THE PROPERTY 9
PROVIDED BY THE HOLD ER OF THE CE RTIFICATE OF SALE IN ACCORDANCE WITH 10
SUBSUBPARAGRAPH 2 OF THIS SUBPARAGRAPH SHALL BE DEEMED VALI D FOR A 11
PERIOD OF 30 DAYS FROM THE DATE T HE HOLDER OF THE CER TIFICATE OF SALE 12
PROVIDES THE OWNER OF THE PRO PERTY THE PAYOFF AMO UNT. 13
[(ii)] (III) 1. In Baltimore City, for owner–occupied residential 14
property, prior to the filing of a complaint to foreclose the right of redemption, an owner of 15
property sold under this subtitle may send a request for the current payoff amount to 16
redeem the property. 17
2. A request made under subsubparagraph 1 of this 18
subparagraph shall be sent to the holder of the certificate of sale by first–class certified 19
mail, postage prepaid, return receipt requested, bearing a postmark from the United States 20
Postal Service. 21
3. Within 10 days of delivery of a notice sent under 22
subsubparagraph 1 of this subparagraph, the holder of a certificate of sale shall send the 23
owner of the property, by first–class certified mail, postage prepaid, return receipt 24
requested, bearing a postmark from the United States Postal Service, the current payoff 25
amount to redeem the property, as of the date the request was made. 26
4. Except as provided in subsubparagraph 6 of this 27
subparagraph, a holder of a certificate of sale who receives a request for a current payoff 28
amount to redeem property under this subparagraph may not file a complaint to foreclose 29
the right of redemption until the later of: 30
A. 20 days after the request under subsubparagraph 1 of this 31
subparagraph is received by the holder of the certificate of sale; 32
B. 10 days after the holder of the certificate of sale sends the 33
owner of the property the current payoff amount to redeem the property; or 34
C. the date on which a holder of the certificate of sale may file 35
a complaint to foreclose the right of redemption under paragraphs (1) and (4) of this 36
subsection. 37 HOUSE BILL 21 5
5. The payoff amount to redeem the property provided by the 1
holder of the certificate of sale in accordance with subsubparagraph 3 of this subparagraph 2
shall be deemed valid for a period of 30 days from the date the holder of the certificate of 3
sale sends the owner of the property the payoff amount. 4
6. If the owner of property sends more than 2 requests under 5
subsubparagraph 1 of this subparagraph, the restrictions on filing a complaint to foreclose 6
the right of redemption may not apply to a third or subsequent request. 7
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 8
1, 2023. 9