Tax Delinquency in Howard County: A Homeowner’s Guide to Saving Your Equity

If you have received a “Notice of Tax Sale” from the Howard County Department of Finance, it can be alarming. Whether you live in Columbia, Ellicott City, or Laurel, the thought of your home being auctioned off is terrifying.

But you have options. Howard County provides a specific legal process that gives you time to “redeem” your property even after the tax sale occurs.

This guide is designed to help Howard County homeowners understand the 2026 Tax Sale, the 18% redemption penalty, and how to protect your financial future before it’s too late.

The Howard County Tax Sale: How It Works

While many Maryland counties stick to a strict May schedule, Howard County’s tax sale dates can vary. The county holds an annual online auction to sell Tax Lien Certificates on properties with unpaid taxes, water/sewer charges, or other municipal liens.

The 2026 Auction Timeline Historically, the sale is held in May, but in recent years, dates have sometimes shifted to June or August. (Note: You must check the official Department of Finance website for the exact 2026 date).

What is a Tax Lien Certificate? The county does not sell your home’s deed at the auction. Instead, they sell the debt to an investor.

  • The investor pays your taxes for you.
  • You now owe the investor the full amount plus 18% interest.
  • If you don’t pay them back within the “Redemption Period,” they can foreclose and take the house.

Important Contact Information & Links

To manage your tax situation effectively, use these official county resources:

  • Check Your Tax Balance: Howard County Tax & Utility Bill Search (Search by account number or address).
  • Official Tax Sale Website: TaxSale.HowardCountyMD.gov (This is where the auction takes place and lists are published).
  • Department of Finance (Tax Sale Division):
    • Address: 3430 Court House Drive, Ellicott City, MD 21043.
    • Phone: (410) 313-2299 (Direct Tax Sale Line).
    • Email: taxsale@howardcountymd.gov

The 2026 Process: What to Expect

1. The Notices (Spring 2026) If your taxes are delinquent, the county will send notices to the address on record. By law, they must also advertise your property in local newspapers (typically the Howard County Times and The Baltimore Sun) for four weeks prior to the sale.

2. The Auction (Spring/Summer 2026) If you do not pay the total amount due by the published deadline (usually 5:00 PM the day before the sale), the lien is sold. You do not lose your home on this day. You retain ownership and can continue living in the property.

3. The Redemption Period (6 Months) Once the lien is sold, you have a 6-month grace period (Right of Redemption).

  • During this time, the investor cannot file for foreclosure.
  • However, interest is accruing every single day.

4. Foreclosure Action After 6 months have passed, the investor can file a “Complaint to Foreclose the Right of Redemption” in the Circuit Court for Howard County. If you still do not pay, the court can grant them full ownership of your home.

The Cost of Waiting: 18% Interest

Howard County charges a stiff penalty for tax delinquency. The redemption interest rate is set at 18% per annum.

  • How it works: Interest is calculated from the date of the tax sale.
  • Legal Fees: This is the hidden danger. After 4 months, the investor can start charging you for their legal expenses (title searches, attorney fees). These fees are added to your total debt, often increasing your payoff amount by $1,000–$2,000 overnight.

Your Options: Keep It or Sell It?

Option 1: Redeem the Property (Keep It) To remove the lien, you must pay the full “Redemption Amount.”

  • Where to Pay: You must pay the Howard County Department of Finance in Ellicott City. Do not pay the investor directly.
  • What to Pay: You will need a current payoff quote that includes the back taxes, the 18% interest, and any subsequent taxes that have come due.

Option 2: Sell the House (Save Your Equity) If the tax bill has become unmanageable, or if you have inherited a distressed property in Columbia or Savage that you don’t want, selling is a powerful option.

We Buy Howard County Homes As-Is.

  • We Pay the Lien: We handle the entire payoff process at closing.
  • You Keep the Equity: You receive the difference between the sale price and the tax debt.
  • Close Fast: We can often close in 7 days, beating the 6-month foreclosure clock.

How Consistent Homebuyers Helps

We are local to the area and understand the high property values (and high taxes) in Howard County.

  • We Buy Anywhere: From high-end homes in Clarksville to townhomes in Columbia and older properties in Elkridge.
  • No Repairs Needed: If you haven’t had funds for taxes, you likely haven’t had funds for repairs. We buy houses with roof leaks, mold, or structural issues.
  • Privacy: Selling to us is confidential. You avoid the public embarrassment of a “For Sale” sign or open houses while dealing with tax issues.

Don’t let the county auction off your hard-earned equity.

Frequently Asked Questions

Can I stop the sale if I set up a payment plan? Howard County typically does not offer payment plans for past-due taxes once the property has been advertised for the tax sale. You usually must pay the advertised amount in full to remove it from the list.

What happens if the house is sold for more than the taxes owed? Investors often bid a “High Bid Premium” (more than the tax debt). However, this extra money does not go to you immediately. It is held by the county. If the property is foreclosed on, you lose the equity. The only way to get your equity is to sell the house yourself before the foreclosure is finalized.

Do I have to move out after the tax sale? No. You have the right to remain in your home throughout the redemption period. Eviction can only occur after a judge signs a final foreclosure order, which is a lengthy legal process.

Need a Hand with the Logistics?

Dealing with the Ellicott City finance office can be complex. If you are struggling to get a clear payoff quote, or if you want to know how much cash you could walk away with if you sold the property today, we are here to support you.

Disclaimer: Consistent Homebuyers is a real estate investment firm, not a law firm or financial institution. We do not provide legal or tax advice. We recommend all clients consult with their own legal counsel or tax professional regarding their specific situation.

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Stop The Interest. Save Your Equity. If you are behind on taxes in Howard County, do not wait for the legal fees to kick in. Fill out the form below for a fair, no-obligation cash offer, or call us at (703) 687-0741.

More Resources for Howard County Homeowners