Buying and Selling a Home The process of buying or selling a home can be a daunting experience. Home buyers often fail to prepare themselves for the rigorous process of finding the right home, signing the contract and paying the closing costs. It’s difficult for home sellers, as well - dealing with real estate brokers, getting the right price, and making sure the buyer goes through with the sale. The resources below will help you navigate through the difficulties of buying or selling our home.

Selling a Home A Self Help Guide Do I need an attorney? Can I keep a deposit after a sale cancellation?

Tips on Buying a Home - The Maryland State Bar Association (MSBA) is the professional organization for Maryland’s lawyers. They offer information on how to buy a home, including a list of items that should be included in any Maryland home purchase contract.

Buying Your Home - Fannie Mae is a for profit corporation that provides financial products and services that make it possible for low-, moderate- and middle-income families to buy homes of their own. Their online brochure on buying a home includes excellent information on how to select a mortgage and understanding closing costs.

Programs for First Time Homebuyers - These links should help you navigate the difficult process of buying your first home. Remember that most homebuyer programs are designed to help people with lower incomes to purchase homes. Always check a program’s income limits before you apply.

Homebuying Incentive Programs for Baltimore City - There are many programs for people interested in buying homes in Baltimore. This list is compiled by Live Baltimore Home Center, a non-profit organization dedicated to promoting the benefits of city living. On their site are various resources for homebuyers, renters, and people new to Baltimore.

Mortgage Calculators - a for-profit site that provides useful on-line mortgage and investment calculators.

Information on Settlement Costs from HUD - The US Housing Department (HUD) provides information to prospective homebuyers on financing a home and settlement costs.

Help for Seniors Looking to Buy a Home - The American Association of Retired People (AARP) is an advocacy group interested in helping older Americans. Their site contains this excellent brochure directed at seniors, on how to buy a home.

I am selling my house. Do I have to have an attorney represent me at the closing?

No law requires that a seller be represented by an attorney at the closing, but it is always a good idea.

It is most important to have an attorney review your listing agreement with a real estate agent, and to have your attorney review the agreement of sale.

The transfer of legal title is only a small portion of the overall closing process. "Closing" or "settlement" are terms which refer to the process of completing a real estate transaction:

• The seller and the buyer sign deeds, mortgages, and other documents;
• The settlement officer makes an accounting, pays outstanding encumbrances, and disburses money.

All sellers should attend the closing. If they cannot, they should sign and notarize the deed in advance. Attorneys for both the buyer and seller should review the settlement documents to make sure that all matters affecting the sale of the property are in order.

The closing is the final transaction in a sale. More important than having an attorney present at the closing is to have an attorney review the agreement of sale in advance to be certain that no problems exist before the closing.

See the "Selling a House - Self-Help Guide"

I signed a contract to sell my home, and now the buyers are not going through with the purchase. May I keep the deposit they gave me?

It is common practice for a buyer to give the seller a deposit at the time the agreement of sale is signed. This is sometimes called "earnest money" and is intended to give the seller some insurance against the buyer defaulting on the agreement.

Some standard terms in agreements of sale allow the seller to keep the deposit if the buyer does not go through with the deal and buy the house. For example, when a buyer is not able to obtain financing (unless financing has been made a condition of the agreement). If a broker is involved in the sale, he or she may have rights concerning the deposit money as well.

The rights of all parties are controlled by the terms of the written agreement. If you have questions, you should ask an attorney to review the agreement and advise you. See "Finding a Lawyer" . Free legal services programs, such as the Legal Aid Bureau and the Senior Citizens Legal Services Programs do not provide this kind of assistance. You will need to hire a lawyer to help with this.

Selling Your Home: A Self Help Guide - Materials adapted by the Legal Aid Bureau for Maryland based upon a booklet from the AARP Legal Services Network.