| For a long time heritage properties suffered from a | | | | dilapidated. They can be applied to all kinds of work |
| bum rap. Investors were reluctant to purchase a | | | | on the building including, "architectural and engineering |
| piece of the past because of the cost of dragging it | | | | fees, site survey fees, legal expenses, development |
| into the present. Fortunately, in the last few decades, | | | | fees, and other construction-related costs". |
| older properties have been rightfully recognized for | | | | In a further effort to encourage folks to restore |
| their beauty and historical value and have become a | | | | heritage properties, the Maryland Historical Trust |
| hot commodity. Yes, there is often work to be done | | | | administers the state Heritage Preservation Tax |
| on heritage buildings, but there are also financial | | | | Credit program, which offers Maryland income tax |
| incentives for restoring these properties to their | | | | credits for 20 per cent of the qualified capital costs. |
| former glory. After all, restorations create | | | | These credits can be used towards interior and |
| employment and the finished product is culturally | | | | exterior rehabilitation, certain landscaping projects, |
| significant, making it a draw for tourism and improving | | | | plumbing and electrical upgrades, architectural fees |
| the quality of a neighborhood over all. | | | | and more. |
| In fact, property owners in Maryland can benefit | | | | In addition, the Maryland Historical Trust offers |
| from potential federal, state and local tax credits for | | | | low-interest rehabilitation loans to people who use the |
| improvements and renovations. Maryland is serious | | | | Heritage Preservation Tax Credit Program. This loan |
| about encouraging people to restore historic homes | | | | can be used to acquire, restore or rehabilitate |
| or income-producing buildings. If you don't live in | | | | property making it easier for you to do more with |
| Maryland don't worry - the state credits have no | | | | less. |
| residency requirements, making it an equal | | | | Within Maryland, many counties and municipalities also |
| opportunity investment opportunity. If you have a | | | | offer property tax credits and/or a freeze on tax |
| heritage property outside of Maryland you may still | | | | assessments (for up to ten years) to encourage |
| be eligible for the federal program. With all of these | | | | people to rehabilitate historic buildings. Again, these |
| incentives, be sure to check the program | | | | programs apply to homes and income-producing |
| requirements before starting any work. | | | | buildings designated as historic buildings. |
| Whether you are a home owner or a long-term lease | | | | Although some (but not all) of these incentives |
| holder of an income producing certified heritage | | | | require you to maintain ownership of your property |
| structure, you can apply for a Federal Rehabilitation | | | | for a time in order to enjoy the full tax benefits, you |
| Tax Credit of up to 20 per cent of a restoration. If | | | | are significantly increasing both the appeal and the |
| your property has not been certified, you can apply | | | | value of your home. When it does come time to sell, |
| to have it certified or take advantage of the 10 | | | | you will see the fruits of your labor. In the meantime |
| percent credit for non-historic, non-residential buildings | | | | you can enjoy the beauty of your heritage property, |
| put in service before 1936. These credits have been | | | | knowing that you have helped preserve a piece of |
| used to revitalize buildings that were seriously | | | | history for future generations to enjoy. |