Key Takeaways
- Maryland recognizes tenancy in common, joint tenancy, and tenancy by the entirety
- Tenancy by the entirety is available only to married couples and provides creditor protection
- Maryland is an equitable distribution state for divorce, not community property
- Homestead tax credit provides property tax relief for owner-occupied homes
- Maryland recognizes easements, restrictive covenants, and other property interests
Maryland Property Rights and Ownership
Maryland follows common law principles for property ownership with some state-specific provisions.
Types of Property Ownership
Individual Ownership (Tenancy in Severalty)
One person holds title:
- Full control over property
- No survivorship rights (passes through estate)
- Most common for single individuals
Co-Ownership Types
| Type | Key Features |
|---|---|
| Tenancy in Common | Default, unequal shares allowed, no survivorship |
| Joint Tenancy | Equal shares, right of survivorship |
| Tenancy by the Entirety | Married couples only, creditor protection |
Joint Tenancy in Maryland
Maryland recognizes joint tenancy with these requirements:
- Must expressly state "joint tenants" or include survivorship language
- The "four unities" (time, title, interest, possession) required
- If one joint tenant sells, joint tenancy is severed
Default Rule: Without specific survivorship language, co-ownership is presumed to be tenancy in common.
Tenancy by the Entirety
Available only to married couples:
- Both spouses must join in conveyance
- Creditor protection from individual debts
- Automatic right of survivorship
- Requires divorce or death to sever
- Cannot be severed by one spouse acting alone
Marital Property Rights
Equitable Distribution State
Maryland is an equitable distribution state (not community property):
| Feature | Maryland Rule |
|---|---|
| Division method | Equitable (fair, not necessarily equal) |
| Court discretion | Yes, based on factors |
| Separate property | Generally remains separate |
| Marital property | Subject to division |
Homestead Tax Credit
Maryland offers a Homestead Tax Credit that limits property tax increases:
How It Works
| Feature | Detail |
|---|---|
| Eligibility | Owner-occupied primary residence |
| Cap | Limits assessment increases to 10% per year |
| Application | Must apply once (not annual) |
| Purpose | Protection from rapid tax increases |
Note: This is a tax credit limiting assessment growth, not an exemption from property taxes.
Easements and Encumbrances
Easements in Maryland
| Type | Description |
|---|---|
| Appurtenant | Benefits adjoining land, runs with land |
| In Gross | Benefits person or entity, may not transfer |
| Prescriptive | Created by adverse use (20 years in Maryland) |
| By Necessity | For landlocked parcels |
Prescriptive Easement Requirements
To establish a prescriptive easement in Maryland:
- 20 years of continuous use
- Use must be open and notorious
- Use must be adverse (without permission)
- Use must be continuous
Restrictive Covenants
Maryland enforces restrictive covenants that:
- Run with the land
- Are recorded in property records
- Do not violate fair housing laws
- Have a reasonable purpose
Adverse Possession
Maryland allows adverse possession after 20 years of:
| Requirement | Description |
|---|---|
| Actual | Physical possession and use |
| Open | Visible to the owner |
| Notorious | Known to others |
| Exclusive | Claimant has exclusive control |
| Hostile | Without owner's permission |
| Continuous | Uninterrupted for 20 years |
How long must continuous adverse use occur to establish a prescriptive easement in Maryland?
What does the Maryland Homestead Tax Credit do?