
Baltimore’s Historic Tax Credit Program (CHAP) is designed to financially assist homebuyers with renovations on eligible homes. This 10-year tax credit helps the city of Baltimore protect its unique neighborhoods and architectural styles while increasing property values. To take advantage of this opportunity, you must meet specific criteria and guarantee your property is in a designated area. Learn how you can use the CHAP Tax Credit to remodel your home and help keep the “charm” in Charm City.
5 Things to Know About the CHAP Tax Credit
- The CHAP Tax Credit offers a 10-year tax incentive for rehabilitating properties in designated historic districts in Baltimore.
- Eligible properties must meet specific renovation criteria, including a minimum investment of 25% of the property’s pre-rehabilitation value.
- Renovation plans must align with local preservation standards to maintain the building’s historical integrity and receive pre-approval.
- Home buyers should submit applications online, including renovation plans and proof of the property’s historic status, before starting any renovations.
- The tax credit can be transferred to new owners, enhancing property marketability and supporting community revitalization efforts.
What Is the Chap Tax Credit?
The CHAP Tax Credit is a 10-year tax incentive that encourages homeowners and developers to rehabilitate properties in Baltimore’s designated historic districts. It can be used for both residential and commercial properties. “CHAP” stands for “Commission for Historic Architecture and Preservation.”
This program requires a minimum investment of 25% of the property’s full cash value and only applies to Baltimore City property taxes. The credit is calculated based on the difference between the property’s post-improvement value and base-year taxes, providing significant financial relief. The CHAP Tax Credit is transferable to new owners, making it one of the best ways to add value to your home.
Eligibility Requirements
To qualify for the CHAP Tax Credit, your home or commercial building must be within a designated historic district or listed in the National Register of Historic Places. You’ll need to guarantee that your renovation plans meet local preservation standards, using historically accurate materials and techniques. Additionally, the improvement costs must meet or exceed 25% of the property’s pre-rehabilitation cash value to be eligible for the tax credit.
Home or Neighborhood Must Have Historic Status
Your property must be historically designated as a Baltimore City Landmark, have a National Register Individual Designation, or contribute to a Baltimore City Historic District or a National Register Historic District.
To find out if a property contributes to such a district, check CHAP’s Historic Districts page. This page includes a list of designated districts and maps showing their boundaries. You can look up the address of your home or one you want to buy in the National Register’s database.
Renovations Must Match Preservation Standards
Renovating a historic property in Baltimore requires strict adherence to preservation standards. This ensures that your updates enhance—rather than detract—from the building’s original character.
To qualify for the CHAP Tax Credit, your renovations must comply with the historical and architectural guidelines set by the Commission for Historical Architectural Preservation. Before starting any work, you’ll need to provide CHAP with detailed renovation plans for pre-approval, outlining the scope of work and layout drawings. Failing to follow these standards can delay the application process or deny the tax credit.
Improvement Costs Must Be 25% or More of Property Value
The total costs of your proposed changes must meet or exceed 25% of the property’s pre-rehabilitation value.
For instance, if your property is valued at $100,000, you must invest at least $25,000 in eligible renovations to qualify. This requirement guarantees that significant improvements are made, promoting the preservation of Baltimore’s historic properties.
Document your investment thoroughly, as you’ll need to demonstrate compliance with the 25% rule during the application process. Your documentation can cover expenses like material, labor, architecture, engineering, and design, but it must exclude acquisition and holding costs and utility and property tax bills.
How Do I Apply For CHAP?
To apply for the CHAP Tax Credit, you must first confirm your property’s eligibility within a designated historic district. Once you’ve determined eligibility, gather the required application materials, including detailed renovation plans, current photos, and proof of ownership.
Finally, submit your application online and a $50 review fee to receive pre-approval before starting any renovations.
Baltimore City Historic Districts
CHAP-eligible homes can be found in numerous historic districts, including Ashburton, Bancroft Park, Jonestown, Mill Hill Deck of Cards, and Waverly, all of which are considered to be some of the best neighborhoods in Baltimore.
If you’re considering a home in one of these areas, you must adhere to specific preservation standards to take advantage of the CHAP Tax Credit. Investing in these historic properties enhances your home and contributes to the city’s rich architectural heritage.
Ashburton
Ashburton features various early 20th-century homes, showcasing styles like Colonial Revival and English Tudor across cottages, brick rowhouses, and more. Ashburton’s proximity to public transportation and local amenities adds to its appeal, offering easy access to downtown Baltimore while maintaining a suburban feel.
Bancroft Park
Bancroft Park’s historic charm and vibrant community make it another appealing choice for prospective home buyers in Baltimore.
As Baltimore’s first entirely 20th-century neighborhood to receive local historic district status, this neighborhood features a variety of Colonial Revival, Foursquare, and Spanish Eclectic homes, among others, that can qualify for the CHAP Tax Credit.
Jonestown

Located just a short distance from Bancroft Park, Jonestown offers an enticing glimpse into the architecture Baltimore is known for. This historic district boasts a variety of row houses, townhomes, commercial properties, and religious buildings dating back to the 19th century.
Mill Hill Deck of Cards
The Mill Hill Deck of Cards is perhaps the best representation of historic rowhouses in Baltimore.
Exploring Wilkens Avenue, you’ll spot over 1,800 feet of continuous homes—the longest block of row houses within the city. Dating back to 1912, these incredible two-story homes were inspired by Italianate row houses and feature marble trim along their windows and doorframes.
Waverly
In Waverly, you’ll discover a charming neighborhood that showcases Baltimore’s architectural heritage through cottage-esque Victorian-era houses set back from a well-kept tree-lined street. The neighborhood is also home to several schools and parks, and its proximity to the Baltimore Beltway offers easy commutes to other parts of the city.
National Register Historic Districts in Baltimore
If you’re considering buying a home in Baltimore, National Register Historic Districts like Bolton Hill, Brewer’s Hill, Canton, Dundalk, and Fells Point offer unique opportunities. These areas showcase rich architectural styles and qualify for the CHAP Tax Credit, which can greatly reduce renovation costs.
Bolton Hill

A vibrant National Register Historic District in Baltimore, Bolton Hill showcases a wide array of Victorian-era homes, including townhouses, rowhomes, and grand mansions. Known for its picturesque, tree-lined streets, Bolton Hill attracts those who appreciate historic architecture and a walkable environment. It’s also conveniently located near cultural institutions and the Baltimore Museum of Art, making it an appealing area for those seeking a mix of history, culture, and modern amenities. If you’re buying in this neighborhood, make sure you check for a ground lease associated with your property.
Brewer’s Hill
Brewer’s Hill offers a unique blend of historic charm and modern convenience, making it an appealing option for Baltimore home buyers.
Recognized as a National Register Historic District, this area features a mix of 19th and early 20th-century residential and commercial buildings that are eligible for the CHAP Tax Credit. Brewer’s Hill is also close to the waterfront, offering residents easy access to parks, restaurants, and shops, all while maintaining a strong connection to its industrial heritage.
Canton
Celebrated for its rich architectural heritage and lively waterfront community, Canton is another National Register Historic District worth exploring in Baltimore.
Homes in Canton are a blend of 19th and early 20th-century Baltimore-style row homes, industrial buildings, and modern developments, showcasing its evolution over time. Popular sites like O’Donnell Square, Canton Crossing, and nearby Patterson Park serve as central gathering places, enhancing the neighborhood’s appeal.
Dundalk
Dundalk offers a more suburban feel compared to other Baltimore neighborhoods, with a variety of housing options, including single-family homes, townhomes, and some apartment buildings, generally constructed from 1910–1940.
The homes in Dundalk are often more affordable, making it a popular choice for those looking for more space at a lower cost. While the neighborhood is more residential in character, it also benefits from its proximity to major roads and public transportation, providing easy access to downtown Baltimore and the surrounding areas.
Fells Point
Fells Point is one of Baltimore’s most iconic historic neighborhoods, known for its cobblestone streets, waterfront views, and charming architecture. The area is home to a mix of rowhouses, townhouses, and converted industrial buildings ranging from the 18th to the early 20th century, many of which have been modernized while preserving their historic charm.
Fells Point offers a vibrant nightlife scene, with numerous bars, restaurants, and shops, attracting both residents and visitors. Its close proximity to the Inner Harbor and downtown Baltimore makes it a prime location for those who enjoy a bustling, walkable environment.
Hampden

In the heart of Baltimore, Hampden is a vibrant National Register Historic District celebrated for its architectural heritage and community spirit. Known for its traditional row houses from the later 1800s, this area reflects the city’s development, returning to its textile milling roots.
Hampden offers a unique blend of old and new, with vintage stores, trendy boutiques, and a variety of restaurants and bars lining the main street. It’s popular for its creative atmosphere and affordable living options. Hampden also hosts the famous “HonFest,” a celebration of the neighborhood’s history.
Mount Vernon
Mount Vernon is one of Baltimore’s premier National Register Historic Districts, rich with 19th-century architecture and cultural landmarks. This wealthy neighborhood is home to the iconic Washington Monument, a towering marble column designed by architect Robert Mills.
As a spirited cultural hub, Mount Vernon features numerous galleries, theaters, and institutions that enrich the community, from the Peabody Institute to The Walters Art Museum. It is one of the city’s most walkable neighborhoods, with a mix of museums, theaters, and cultural institutions, including the Walters Art Museum and the Baltimore Symphony Orchestra.
Maximize Your Historic Home Renovation With the CHAP Tax Credit
The CHAP Tax Credit can benefit Baltimore home buyers and developers interested in updating historic properties. By meeting the eligibility requirements and adhering to preservation standards, you can take advantage of this generous 10-year tax incentive. With careful planning and adherence to regulations, you can enhance your property’s value and contribute to the revitalization of your community.