The Maryland residential real estate purchase agreement (“residential purchase and sale agreement”) is a contract that outlines the price, terms, rights, and obligations of both the buyer and seller during a residential real estate transaction. Once the agreement has been signed, it may not be terminated unless both parties agree.
Do Sellers in Maryland Have to Disclose Property Defects?
Maryland does require real estate sellers to disclose any material defects. Certain states do not require the seller to disclose all defects (caveat emptor), meaning the buyer assumes the responsibility to conduct a real property inspection to seek out any potential defects with the property. In those states, if a buyer fails to conduct a proper examination, they may not have a legal alternative to reverse the real estate transaction.
Required Seller Disclosures in Maryland
Along with any material defects with the property, sellers in Maryland will also need to provide the following:
- Residential Property Disclosure and Disclaimer Form. State law requires that the seller of a residential property disclose the property’s condition and any defects to the buyer. The seller must provide the disclosure form before the purchaser has executed the purchase agreement.
- Lead-Based Paint Disclosure. Any home that was constructed earlier than 1978 must come with a disclosure upon the transfer of the property that includes any data concerning the presence of lead on the premises as well as educational materials that communicate the risks involved with coming into contact with the harmful substance.