What is Receivership?
A receivership action is a code enforcement tool that allows the City to request the appointment of a vacant building receiver to abate the public nuisance created by vacant and problem properties.
All properties in receivership actions had been issued Vacant Building Notices by Baltimore City. If an owner of the property fails to comply with the notice, an attorney for Baltimore City’s housing department can request the District Court to appoint a Receiver to sell, rehabiliate or demolish the property.
If a property is sold through a public auction or private sale, the Receiver oversees the transfer to the new owner and reports the progress to the District Court for approval. The Receiver files a Report of Sale shortly after the property is sold. It takes 30 days for the court to ratify the sale to allow for any exceptions to made by parties involved in the receivership action.
After the sale is ratified, the Reciever and the purchaser will settle on the property. All outstanding municipal taxes and fees are paid to the city at this time. The Receiver will then file a Final Accounting that reflects all of the money paid at settlement and any fees or costs associated with bringing the receivership action. Should no exceptions to the Final Accounting be filed, the Court will approve the accounting and any remaining proceeds from the sale will then be distributed in order of priority, including to any mortgage companies or owners.