Marvin Mandel, Governor                        1025

4-105. Words of inheritance unnecessary.

No words of inheritance shall be necessary to create an estate
in fee simple or an easement by grant or by reservation. Unless a
contrary intention shall appear by express terms or be necessarily
implied therein, every conveyance of real estate shall be construed to
pass a fee simple estate, and every conveyance or reservation of an
easement shall be construed to pass or reserve an easement in per-
petuity.

4-106. Affidavits of consideration and disbursement.

(a)    No mortgage or deed of trust shall be valid except as
between the parties thereto, unless there be endorsed thereon or at-
tached thereto an oath or affirmation of the mortgagee or the party
secured by a deed of trust that the consideration recited in said
mortgage or deed of trust is true and bona fide as therein set forth.

(b)    No purchase money mortgage or deed of trust involving
land, any part of which is situated in Maryland, shall be valid either
as between the parties or as to any third parties unless such mort-
gage or deed of trust contains or has endorsed upon it or attached
thereto at a time prior to recordation, the oath or affirmation of
the party secured by such mortgage or deed of trust stating that
the amount of the loan which said mortgage or deed of trust has
been given to secure was paid over and disbursed by the party
secured by the mortgage or deed of trust to either the borrower or
the person responsible for disbursement of funds in the closing
transaction or their respective agent at a time no later than the
final and complete execution of the mortgage or deed of trust,
provided, however, that this subsection shall not apply where a mort-
gage or deed of trust is given to a seller in a transaction in order
to secure payment to him of all or part of the purchase price of said
property. This affidavit shall be required for only that part of the
loan that is purchase money and in the event the requirements
of this subsection 4-106 (b) are not satisfied the mortgage or deed
of trust shall be invalid only to the extent of the part of the
loan that was purchase money.

(c)    Either or both of the affidavits required by this section
may be made by one of the several mortgagees or parties secured by
the deed of trust, and shall have the same effect as if made by all;
or, in case of a deed of trust to secure a bond or bonds to be ussued
ISSUED, said affidavits may be made by any trustee named therein,
or the said affidavits may be made by an agent of a mortgagee or of a
party secured by the deed of trust or by such trustee named in a deed
of trust to secure a bond or bonds to be issued; and when made by an
agent, he shall in addition to the affidavits above mentioned make
affidavit, to be endorsed upon the mortgage or deed of trust or at-
tached thereto, that he is the agent of the mortgagee or party secured
by the deed of trust or some one of them; or of such trustee, which
affidavit shall be sufficient proof of such agency; and the president,
or other officer of a corporation, or the personal representative of
the mortgagee or party secured by the deed of trust may make
such affidavits.

(d)    This Section 4-106 shall not apply to mortgages or deeds
of trust where the loan secured thereby is one in which it is lawful
to charge any rate of interest under the provisions of Art. 49, § 7.