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Maryland · RP §10-702Maryland property disclosure or disclaimer statement

In Maryland the seller of a one-to-four unit home gives each buyer either a residential property condition disclosure statement or a disclaimer statement, on the Real Estate Commission's form, on or before the contract is signed – and the buyer signs a dated acknowledgment attached to the contract (Real Property §10-702). Even with a disclaimer, the seller must disclose known latent defects that threaten health or safety. A buyer who did not receive it may rescind before receiving it or within 5 days after, and gets deposits back.

The rules

  1. Two choices (§10-702(c))

    A disclosure statement listing known defects (water and sewer, insulation, structure, systems, wood-destroying insects, land use, hazardous materials, smoke and carbon monoxide alarms) – or a disclaimer that the property is sold “as is”.

  2. Latent defects (§10-702(d))

    Even under a disclaimer, the seller discloses latent defects it actually knows of that a careful visual inspection would not reveal and that pose a direct threat to health or safety.

  3. When (§10-702(f))

    On or before entering into the contract; each buyer signs and dates an acknowledgment of receipt included in or attached to the contract.

  4. Late or missing (§10-702(h))

    The buyer has an unconditional right, by written notice, to rescind before receiving the statement or within 5 days after receiving it, with immediate return of deposits. The right can end earlier under the lender-notice rules in §10-702(h)(2).

Exempt transfers (§10-702(b)(2), selection)

  • The first sale of a never-occupied home, or one with a certificate of occupancy issued within a year before the contract.
  • Transfers exempt from transfer tax (with listed exceptions).
  • Sales by a lender after foreclosure; sheriff's, tax, foreclosure and court-trustee sales.
  • Fiduciaries in an estate, guardianship, conservatorship or trust.
  • Property bought for non-residential conversion or demolition, and unimproved land.

What the TC tracks

  • Which form the seller chose – disclosure or disclaimer – and the signed acknowledgment attached to the contract.
  • If delivered late: the receipt date and the 5-day rescission window.
  • Lender disclosures that can end the rescission right earlier.
  • Deposit return procedures if the buyer rescinds.

Questions about the Maryland disclosure or disclaimer

What is the difference between a disclosure and a disclaimer in Maryland?

A disclosure statement lists known defects; a disclaimer says the property is sold “as is” – but even then known latent defects that threaten health or safety must be disclosed.

When must the Maryland disclosure or disclaimer be delivered?

On or before entering into the contract of sale, with a signed and dated acknowledgment of receipt (§10-702(f)).

How long does a Maryland buyer have to rescind after late delivery?

Until receiving the statement and then 5 days after receipt, by written notice, with deposits returned (§10-702(h)).

Can a Maryland buyer rescind if they got the statement before signing?

No. A buyer who received it on or before entering into the contract has no right to rescind based on its contents (§10-702(g)).

Is new construction exempt in Maryland?

The initial sale of a never-occupied home, or one whose certificate of occupancy was issued within a year before the contract, is exempt (§10-702(b)(2)(i)).

Related guides

Record when the disclosure or disclaimer was received and add the 5-day rescission window as a dated task on the deal in ClosingCode.

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Source: Maryland Code, Real Property §10-702 (mgaleg.maryland.gov, read October 24, 2026).

General information, not legal advice. ClosingCode is software; it is not a law firm or brokerage.