Maryland Real Estate Purchase Agreement

Whether selling or buying property in Colorado, remember the legal terms and disclosures in a Colorado real estate purchase agreement. There are specific requirements you must include in these lawful contracts. It includes what information you must add and the legal disclosures discussed below.

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Maryland Real Estate Purchase Agreement

Ensure you adhere to state laws with our legally binding Maryland Real Estate Purchase Agreement template.

A Maryland Real Estate Purchase Agreement must contain key legally binding and valid elements under the state’s law. Here are the four (4) crucial components that make up the agreement:

  • Mutual Agreement: Both parties must willingly agree to enter the contract.
  • Offer and Acceptance: A valid offer must be made, which is then accepted, along with sufficient consideration.
  • Legal Capacity: The parties involved must have the legal ability to agree.
  • Legal Purpose: The agreement should serve a legal and legitimate purpose.

These elements ensure that the real estate purchase agreement is fair and adheres to the legal standards set by its state law. 

In Maryland, every real estate purchase agreement should contain the following to safeguard the interests of all parties involved in the transaction:

  • Property Details: The contract should include comprehensive information about the property, such as its address, legal description, and any known issues or defects.
  • Purchase Price: The contract should mention the purchase price and any conditions related to financing or inspections.
  • Financing Details: Typically, the buyer needs to arrange for financing to buy the house. The contract should specify if the buyer is planning to take a mortgage and the terms of that mortgage.
  • Earnest Money Deposit: The buyer makes this deposit when the seller accepts their offer. It serves as a token of the buyer’s serious intent to purchase the house.
  • Disclosures: The contract should contain a disclosure statement providing information about the property and any known defects or issues.
  • Signatures: For the contract to be legally binding, it must be signed by both the buyer and the seller.
  • Deadlines: The home buying process involves several deadlines that both parties should know—for instance, the deadline for completing a home inspection and, most importantly, the closing date.

Required Disclosures 

A Maryland Real Estate Purchase Agreement is required to disclose any significant defects in the property. 

In addition to disclosing any substantial defects, sellers in Maryland are also required to provide the following:

  • Residential Property Disclosure and Disclaimer Form: This is a state-mandated form that sellers must provide to buyers before the purchase agreement is signed. It discloses the condition of the property and any known defects.
  • Lead-Based Paint Disclosure: For homes built before 1978, sellers must provide a disclosure at the time of property transfer. This disclosure includes any information about the presence of lead on the property and educational materials about the risks associated with exposure to this harmful substance.

These requirements ensure that buyers are well-informed about the property they purchase, promoting transparency and fairness.