New Maryland Real Estate Laws

[Russell Brazil]

Two important pieces of legislation took affect on October 1st. The first which cover the whole state is a change in the agency law. Previously if you were a buyer working with an agent, and you did not have a written agreement it was Presumed that you were working in an agency relationship, thus a relationship called Presumed Agency. Now if an agent shows you a property, and you do not have a written agency agreement with the agent, then they are representing the seller.

So what is the reality of this situation? It likely means that your agent will now need a written agreement with you to operate within the parameters of the law.

The 2nd major piece of legislation applies to Montgomery County. All single family homes (SFH, TH, Not Condo, Not Commercial) sold in Montgomery County now require a radon test before closing. Some lenders are requiring a copy of the test for underwriting as well. The law does not dictate who will pay for the test, buyer or seller.....however the new disclosure forms seem to allow the seller to choose who will pay for it.

So I think in reality, all buyers should be prepared to pay for the test, and I think, though I dont know for sure, that lenders will require remediation if the level is above the federally prescribed safety levels.

[Coles Mercier]

@Russell Brazil Thank you for sharing these 2 important pieces of legislation.