Title and settlement in Towson, MD

Why Towson matters at settlement

Towson is the county seat of Baltimore County, so the offices that tax and record Baltimore County deeds are here. Whether the house is in Towson, Parkville or Pikesville, its deed goes through the same two offices in Towson:

• The county’s Transfer and Recordation Section, Office of Budget and Finance, 400 Washington Avenue. It reviews each deed and collects the county’s taxes before the deed is recorded.
• The Clerk of the Circuit Court’s land records division, in the County Courts Building at 401 Bosley Avenue. It records the deed.

Towson is not an incorporated town (Baltimore County has none), so there is no town property tax rate and no town transfer tax. For FY2027 (July 1, 2026 - June 30, 2027), a Towson home pays the Baltimore County property tax rate of $1.10 per $100 of assessed value plus the state rate of $0.112 per $100. The county tax bill can also carry county charges, such as the sewer service charge described below.

Taxes at settlement, and who pays them

Three government taxes are due when a Towson home changes hands:

• 0.5%State transfer tax0.5% of the price.
• 1.5%Baltimore County transfer tax1.5% of the price. When the home will be the buyer’s principal residence, the county exempts the first $22,000 of the price, subject to the county’s conditions.
• $2.50 per $500Recordation tax$2.50 per $500 of the price, about 0.50%.

The calculator on our Baltimore County page works these out for you: enter the contract price and it shows each tax with the buyer’s and seller’s shares. At the county median price of $393,000, the three taxes total $9,825 for a buyer who will not live in the home, such as an investor; with the default even split, that is $4,912.50 for each side. If the buyer will live in the home and the $22,000 exemption applies, it cuts the county transfer tax to $5,565 and the total to $9,495. Tick “Buyer will live in the home” in the calculator to see it. The calculator takes the whole saving off the buyer’s half of the county transfer tax; ask us how it will be split under your contract.

Who pays depends first on the contract. If the contract is silent, Maryland law presumes all three taxes are shared equally. A first-time Maryland home buyer who will live in the house changes the picture: the state transfer tax drops to 0.25% of the price, paid entirely by the seller, and the seller also pays the county transfer and recordation taxes unless the contract expressly says otherwise. Tick the first-time buyer box in the calculator to see the difference. Every buyer on the deed must give a sworn statement, either as a first-time Maryland buyer who will live in the home or as a co-signer of the loan who will not, so tell us early if this applies to you. Baltimore County has no first-time buyer break of its own: a 2026 bill in the General Assembly to create one was not enacted.

The loan you take out to buy the home usually adds no recordation tax. A purchase-money deed of trust delivered and recorded with the deed (within the 30-day windows in the statute) is not subject to recordation tax.

These are taxes only. Title insurance, our settlement fee, lender charges, recording fees and the adjustment of property taxes and HOA dues are separate. Our instant quote gives the full figure, and our Baltimore County page covers the county’s rates in more depth.

The lien certificate

Every Towson deed that changes ownership needs a county lien certificate; without one, the county will not process the deed. The certificate shows what the county says is owed on the property, such as property tax and county charges. Ordering it early in the title work means any unpaid amount shows up on the settlement statement and can be paid at settlement, usually from the seller’s proceeds.

Water and sewer are billed separately in Baltimore County. Baltimore City sends the water bill to homes on public water, even in the county, while the county puts its yearly sewer service charge on the July 1 property tax bill. Before settlement, the tax bill is checked for the sewer charge and the seller’s latest water bill is requested, so each charge can be adjusted between buyer and seller at settlement, as the contract provides, rather than left for the buyer to discover.

Title issues we see around Towson

Condominiums. On a condo resale, Maryland law requires the seller to give the buyer the declaration, bylaws, rules and a certificate from the association covering fees, reserves, insurance and any lawsuits, at least 15 days before closing. The buyer can cancel in writing within 7 days of receiving all of it, but that right ends once the buyer goes ahead to closing. Before settlement, the association is asked for a statement of what is owed, so the dues are paid up to the settlement date.

Rowhouses and older subdivisions. Rodgers Forge, just north of the Baltimore City line, is a historic district made up mostly of rowhouses built between the 1930s and the 1950s. Rowhouses share party walls, and older lots may share an alley or driveway. In any older neighborhood, the plat and deed description may not match where fences, garages and walls actually stand. Our title search looks for recorded easements and right-of-way agreements, and a survey or location drawing shows what the paper cannot.

Ground rent. Baltimore County is one of the counties with ground rents registered with the state. A ground rent means someone else owns the land under the house and is owed a small yearly rent. SDAT says only ground rents listed on its Ground Rent Registry are legally collectible, and a homeowner can redeem (buy out) a ground rent through SDAT. If the title search turns one up, we tell you before settlement and explain your choices.

Estates. The Register of Wills for Baltimore County is also in the County Courts Building, Room 500. When a Towson home is sold by a probate estate, the person who signs the deed is normally the personal representative appointed through that office, and they need that authority in place before settlement. Our deeds and family transfers service covers inherited homes and transfers within families.

Buying to rent. If you plan to rent the home out, for example to students at Towson University, Baltimore County requires most rental property to be registered with the county for a rental license before a tenant moves in. Check the county’s current Rental Housing Registration rules, including those for short-term rentals, before you settle.

County or city? Towson’s south side sits close to the Baltimore City line, and a postal address is not proof of which side of the line a house is on. A Baltimore City home pays the city’s transfer and recordation taxes and is recorded at the city’s courthouse, not in Towson. SDAT’s Real Property Data Search shows which county or city a property is in; or send us the address before the contract is written and we will confirm it.

Working with Maryland First Title in Towson

If you are comparing a Towson title company with one based elsewhere, what matters is who runs your settlement and how well they know Baltimore County’s steps. Maryland First Title has handled settlements across Maryland since 1994, and our settlements are conducted by attorney settlement agents. We will meet you in Towson, at your home, your agent’s office or another place that suits you, at no extra cost, or you can come to our office at 306 Crain Highway North in Glen Burnie.

We handle residential settlements and commercial settlements, 1031 exchanges for investors trading rental property, and sales where the seller has no agent or the buyer has no agent. An owner’s title policy is optional in Maryland; its premium is paid once, at settlement. To see why it is worth considering on an older Towson home, read why title insurance matters.