Buying or selling a condo in Maryland is covered by the Maryland Condominium Resale Law. What is it and what do you need to know about it as a buyer or a seller?
Ryan Haley, broker and owner of Atlantic Shores Sotheby’s International Realty, lets you in on the top things you need to know about this law.
What the Maryland Condominium Resale Law, as well as the addendum and contingency, refer to is that at least 15 days prior to settlement, the seller, at seller’s expense, needs to furnish the buyer the “Condo Resale Package.”
The condo resale package will include information about the condo rules, restrictions, budget, balance sheet, and could even include minutes from meetings. Essentially, it should include anything a buyer needs to know about that condo association. This package usually comes in a large, thick set of documents—sometimes consisting of 100 to 200 pages of information—and which could come through the mail or as PDF email attachments.
Once the buyer receives the package, the buyer will sign an acknowledgment, stating that they have received the documents. From receipt of the documents, the buyer then has seven days to review the documents.
If the buyer does not like what is in the resale package, they can opt to cancel the contract and the deposit shall be disbursed, according to the deposit paragraph of the contract. But essentially, the buyer can get a full return of the deposit without having to state the reason why they want to cancel the contract. With a condo, the buyer has seven days to review, but if it is part of a homeowners’ association, the buyer has five days to review the documents.
For any questions you may have about buying or selling in Maryland or Delaware, please give us a call, and we’ll be happy to answer them for you.