Ramos on Mayor's Scott Decision to Remove Homeowners from Tax Sale

I am grateful to Mayor Scott and the Administration for their continued commitment to ensuring our homeowners who struggle to pay their taxes do not lose their homes or have to make choices between eating, medications, and their taxes to save their homes. Reforming this predatory system of property tax collection is essential. 

When someone cannot pay their taxes by a certain date, the lien is sold to a third party, and the city is made whole. The investor goes back to the property owner to collect the amount of the lien, their legal fees, and 12% interest. The investor can foreclose after two years if they are unable to collect. In most cases, residents have to make choices between saving their homes, eating, and necessary medications. No one should have to make those choices. Maryland remains one of 20 states with this archaic tax collection system. 

Reform of this system to remove third-party collections hinges on the implementation of payment plans for property taxes and strategic outreach and assistance to residents, including ensuring more residents take advantage of the state’s Homeowners’ Property Tax Credit. I look forward to continuing the work toward reform with Mayor Scott and the many residents and stakeholders that have worked tirelessly for many years to assist our residents