Maryland Senate Bill 848/House Bill 1048

The Maryland legislature recently amended its laws relating to notices of foreclosure, effective October 1, 2018.

“Department” means the Maryland Department of Labor, Licensing, and Regulation.

“Foreclosed Property Registry” means the Foreclosed Property Registry established by the Department.

“Local jurisdiction” means:

• A county; or
• A municipal corporation.

“Person authorized to make the sale” means the person designated under the Maryland rules to sell residential property subject to foreclosure.

“Residential property” means real property improved by four or fewer dwelling units that are designed principally and are intended for human habitation.

Within 7 days of the filing of an order to docket or a complaint to foreclose a mortgage or deed of trust on a residential property by a person authorized to make the sale of the residential property, the person authorized to make the sale must provide the Department with a Notice of Foreclosure.

The Notice of Foreclosure must:

• Be in the form the Department requires, which may be the form of a registration with the Foreclosed Property Registry; and
• Contain the following information regarding the property that is subject to foreclosure:
  • The street address;
  • The tax account number, if known;
  • Whether the property is vacant, if known;
  • The name, address, and telephone number of the owner or owners of the property, if known;
  • The name, address, and telephone number of the person authorized to make the sale; and
  • The name, address and telephone number of a person authorized to manage and maintain the property before the foreclosure sale, if known.

A Notice of Foreclosure:

• Is not a public record; and
• Is not subject to recording requirements.

The Department may authorize access to a Notice of Foreclosure only to local jurisdictions, the agencies of local jurisdictions, and representatives of state agencies.  The Department or a local jurisdiction may provide information for a specific property described in a Notice of Foreclosure to:

• A person who owns property on the same block; or
• A homeowners association or condominium in which the property is located.

Except as otherwise provided, only the state may enact a law requiring a notice to be filed with a unit of government to register residential properties that are subject to foreclosure.  This does not restrict or otherwise affect the ability of a unit of government to require a registration or notice to be filed for a purpose other than one relating to foreclosure, even if a property to be identified in the registration or notice is subject to foreclosure.