The biggest changes when you move to Maryland from DC or Virginia are taxes and paperwork. Maryland adds a county income tax on top of its state tax, so most people pay more income tax than in Virginia and, at many incomes, more than in DC. Property tax rates depend on the county you pick, and you have 60 days to switch your license and car registration to Maryland.
Montgomery County and Prince George’s County border DC, and every county we cover is on our areas page.
This is general information, not tax or legal advice. Talk to a CPA about your own return and a lender about your loan.
Income tax: Maryland vs DC vs Virginia
Maryland has two layers. The state rate, from the Comptroller’s 2026 withholding memo, starts at 2% and reaches 4.75% at $3,001 of taxable income. It rises in steps above $100,000 for single filers ($150,000 joint), and two new top brackets for 2026 are 6.25% and 6.5% on income over $500,000 and $1,000,000 for single filers.
Then every county and Baltimore City adds a local income tax. For calendar 2026, per the Department of Legislative Services rate table and the Comptroller memo:
| Where you live | Local income tax, 2026 |
|---|---|
| Montgomery, Prince George’s, Howard, Baltimore County, Baltimore City | 3.20% |
| Charles County | 3.03% |
| Anne Arundel County | 2.70% to 3.20%, graduated by income |
Montgomery County moves to graduated rates of 2.70%, 3.00% and 3.30% for 2027, per the DLS county tax tables.
DC’s rates, from the Office of Tax and Revenue, run from 4% to 10.75%, with 8.5% applying from $60,000 to $250,000. Virginia’s 2025 tax rate schedule has four brackets topping out at 5.75% above $17,000.
To make it concrete, here is the tax on the same $100,000 of taxable income for a single filer, using only the bracket math from those sources. No credits, and keep in mind that each state calculates taxable income with its own deductions, so your actual taxable income will differ by state.
| Single filer, $100,000 taxable income | State tax | Local tax | Total |
|---|---|---|---|
| Maryland, living in Montgomery County | $4,698 | $3,200 | $7,898 |
| District of Columbia | $6,900 | n/a | $6,900 |
| Virginia | $5,493 | not included | $5,493 |
If you keep your job across the line
Maryland taxes its residents on all of their income, wherever it is earned, the Comptroller says. Maryland has reciprocal agreements with DC and Virginia, so you generally pay Maryland, not your work state.
- Working in DC: DC doesn’t withhold from nonresidents who file Form D-4A, the certificate of nonresidence, with their employer.
- Working in Virginia: Virginia Tax exempts Maryland residents’ wages if you are taxed in Maryland, are in Virginia 183 days or less a year, keep no home there and earn only wages there. You file Form VA-4 with your employer each year.
Change your withholding the month you move. If your employer keeps withholding DC or Virginia tax, you’ll be filing extra returns to get it back.
Property tax and transfer tax
Maryland property tax is the state rate of $0.112 per $100 of assessed value (July 2026 to June 2027) plus the county rate. DC’s residential rate is $0.85 per $100 on the first $2.558 million of a one- or two-unit home. Virginia’s rates are set by each county and city and vary widely, as the Virginia Department of Taxation’s local rate survey shows.
On a home assessed at $500,000, before any homestead credit or deduction:
| Location | Rate per $100 (FY2027) | Annual tax |
|---|---|---|
| Montgomery County (county + state) | $1.1521 | $5,761 |
| Prince George’s County (county + state) | $1.4860 | $7,430 |
| District of Columbia | $0.85 | $4,250 |
County rates come from the DLS county tax tables for fiscal 2027 (July 2026 to June 2027). Homes in an incorporated town may also pay a town rate. Maryland’s homestead credit caps how fast the taxable assessment on your primary home can rise; our Maryland property tax guide explains it and how to apply.
Transfer taxes work differently too. DC charges both a deed recordation tax and a deed transfer tax of 1.45% each on residential sales of $400,000 or more (1.1% each below that). Maryland has a state transfer tax of 0.5%, with a reduced rate for first-time Maryland buyers buying a principal residence, as the Department of Legislative Services describes. Counties add their own transfer and recordation taxes: Montgomery’s transfer tax varies by price and Prince George’s is 1.4% (fiscal 2027, DLS). Who pays which share is set by the contract and local custom. Our buyer closing costs post walks through a full settlement sheet.
MVA: license and registration deadlines
The Maryland MVA’s new resident page gives you 60 days from becoming a Maryland resident to get a Maryland driver’s license and to title and register your vehicles. Book a “New to Maryland” appointment online and bring your out-of-state title and proof of Maryland residency. Your car will also need a Maryland safety inspection certificate in most cases.
Enforcement got stricter on October 1, 2026. Per the MVA’s legislative update, residents still on out-of-state registrations get a notice and 60 days to fix it. After that the fine is $7 a day, up to $420 per vehicle. The same update says residents who re-title in Maryland by December 31, 2026 are exempt from the excise tax on that transaction. Starting January 1, 2027, they pay it.
Commute options: Metro, MARC and roads
Moving to Maryland doesn’t have to mean giving up the train. Five Metrorail lines reach into Maryland, according to WMATA’s system map:
| Metro line | Maryland end of the line |
|---|---|
| Red | Shady Grove and Glenmont (Montgomery County) |
| Green | Greenbelt and Branch Ave (Prince George’s County) |
| Orange | New Carrollton |
| Silver | Downtown Largo and New Carrollton |
| Blue | Downtown Largo |
MARC commuter rail runs three lines into Washington Union Station from Maryland: the Penn, Camden and Brunswick lines, per MTA Maryland. Our post on living near a MARC station goes line by line.
If you drive, test the commute at rush hour before you buy. The Census Bureau puts Maryland’s mean travel time to work at 31.1 minutes (2020-2024 American Community Survey), and your own trip from a given house can be a lot longer or shorter than that.
How buying a home in Maryland works
The basics are the same as in DC and Virginia: offer, inspection, appraisal, loan, settlement with a title company. A few Maryland specifics are worth knowing before you start:
- Sellers give you either a property condition disclosure or a disclaimer that they make no representations. Our guide to selling as-is in Maryland explains both, and what they mean for you as a buyer.
- You’ll sign a written buyer agreement with your agent. Our post on the Maryland buyer agreement covers what’s in it.
- Down payment help is run by the state and by several counties, with different rules. See the Maryland Mortgage Program guide and down payment assistance by county. For the state transfer tax, a “first-time Maryland home buyer” is someone who has never owned a principal residence in Maryland, per the DLS fiscal note, so a past home in DC or Virginia doesn’t disqualify you there. Loan programs use their own definitions; our first-time buyer guide sorts out the definitions.
- Schools: look up any address on the county school district’s official boundary tool before you write an offer.
For the full order of steps, read how to buy a house in Maryland.
Where to start
Pick two or three counties by commute and price first, then compare tax bills on actual listings. Our county pages pull the details together:
- Montgomery County and Prince George’s County, on the DC line
- Howard County and Anne Arundel County, between DC and Baltimore
- Charles County, to the south
- Baltimore City and County, to the north
Our cost of living guide has the income math for renting or buying in each.
Bottom line
Coming from DC or Virginia, expect a higher income tax bill because of Maryland’s county tax, a property tax bill that depends heavily on which county you choose, and 60 days to get your license and car switched over. Transit into DC is still there on Metro and MARC. When you’ve narrowed it down, tell us what you’re looking for and we’ll compare real listings, with real tax numbers, across the counties on your list.
Sources
- Comptroller of Maryland, 2026 Maryland State and Local Income Tax Withholding Information (February 4, 2026). Checked October 26, 2026.
- Comptroller of Maryland, Tax Alert on reciprocal agreements and resident taxation. Checked October 26, 2026.
- Maryland Department of Legislative Services, county and local tax rates, fiscal/calendar 2026. Checked October 26, 2026.
- Maryland Department of Legislative Services, fiscal note, HB 790 (2026), current-law description of the state transfer tax. Checked October 26, 2026.
- Maryland SDAT, Tax Rates 2026-2027 and Homestead Credit Caps. Checked October 26, 2026.
- Maryland Department of Legislative Services, county tax rate tables, FY2022-FY2027. Checked October 26, 2026.
- DC Office of Tax and Revenue: individual income tax rates, real property tax rates, Recorder of Deeds FAQs, Form D-4A. Checked October 26, 2026.
- Virginia Department of Taxation: 2025 tax rate schedule, reciprocity, local tax rates survey. Checked October 26, 2026.
- Maryland MVA: New Maryland residents, title and register your vehicle, legislative update effective October 1, 2026. Checked October 26, 2026.
- WMATA, Metrorail system map. Checked October 26, 2026.
- Maryland Transit Administration, MARC train. Checked October 26, 2026.
- U.S. Census Bureau, QuickFacts: Maryland (2020-2024 ACS). Checked October 26, 2026.