Selling a Home in Maryland
Maryland sellers pay a share of the State Transfer Tax (0.50%, customarily split 50/50 so the seller's share is 0.25%) plus a share of any county transfer tax. Counties vary widely — Baltimore City charges 1.5%, Montgomery and Prince George's typically 1.4%–1.5%, while many rural counties charge none. Recordation tax is customarily paid by the buyer. On top of transfer taxes, sellers pay agent commissions, the owner's title insurance policy, attorney fees, and recording fees.
Maryland Transfer Tax & Closing Costs
Maryland uses an attorney/title-agency closing model. The seller customarily pays half of the state and county transfer taxes (full county tax in some jurisdictions per contract), the owner's title insurance policy, and their own attorney fee. Recordation tax is typically buyer-paid.
How to Estimate Your Maryland Net Proceeds
- Sale Price: Start with the agreed-upon contract price.
- Mortgage Payoff: Subtract your remaining loan balance and accrued interest through closing.
- Transfer Taxes: Apply the state, county, and any municipal transfer tax owed by the seller.
- Closing Costs: Deduct commissions, owner's title insurance, attorney/escrow, and recording fees.
Maryland Net Proceeds = Sale Price − Mortgage Payoff − Commissions − Transfer Taxes − Closing Costs
