PARRIS N. GLENDENING, Governor                            H.B. 100

(I)      1. THE GRANTEE IS AN INDIVIDUAL WHO HAS NEVER
OWNED IN THE STATE RESIDENTIAL REAL PROPERTY THAT HAS BEEN THE
INDIVIDUAL'S PRINCIPAL RESIDENCE; AND

2. THE RESIDENCE WILL BE OCCUPIED BY THE GRANTEE AS
THE GRANTEE'S PRINCIPAL RESIDENCE; OR

(II)     1. THE GRANTEE IS A CO-MAKER OR GUARANTOR OF A
PURCHASE MONEY MORTGAGE OR PURCHASE MONEY DEED OF TRUST AS DEFINED
IN § 12-108(I) OF THIS TITLE FOR THE PROPERTY; AND

2. THE GRANTEE WILL NOT OCCUPY THE RESIDENCE AS
THE CO-MAKER'S OR GUARANTOR'S PRINCIPAL RESIDENCE.

13-203.

(a)     Except as provided in subsection (b) of this section, the rate of the transfer tax
is 0.5% of the consideration payable for the instrument of writing. The consideration
includes the amount of any mortgage or deed of trust assumed by the grantee.

(b)     [(1) The transfer tax does not apply to the first $30,000 of the consideration
payable for an instrument of writing for residentially improved owner-occupied real
property, provided that the instrument of writing is accompanied by a statement under
oath signed by the grantee that the residence will be occupied by the grantee.

(2)     (i) Except as provided in subparagraph (ii) of this paragraph, the
exemption provided under paragraph (1) of this subsection shall be applied against the
grantee's transfer tax payment required under this section.

(ii) If the grantor has agreed, by contract, to pay the entire State
transfer tax, the exemption provided under paragraph (1) of this subsection shall be
applied against the grantor's transfer tax payment required under this section.]

(1) IN THIS SUBSECTION, "FIRST-TIME MARYLAND HOME BUYER"
MEANS AN INDIVIDUAL WHO HAS NEVER OWNED IN THE STATE RESIDENTIAL REAL
PROPERTY THAT HAS BEEN THE INDIVIDUAL'S PRINCIPAL RESIDENCE.

(2) IF THERE ARE TWO OR MORE GRANTEES, THIS SUBSECTION DOES
NOT APPLY UNLESS EACH GRANTEE IS A FIRST-TIME MARYLAND HOME BUYER OR
A CO-MAKER OR GUARANTOR OF A PURCHASE MONEY MORTGAGE OR PURCHASE
MONEY DEED OF TRUST AS DEFINED IN § 12-108(I) OF THIS TITLE ARTICLE FOR THE
PROPERTY AND THE CO-MAKER OR GUARANTOR WILL NOT OCCUPY THE
RESIDENCE AS THE CO-MAKER'S OR GUARANTOR'S PRINCIPAL RESIDENCE.

(3)     NOTWITHSTANDING ANY OTHER PROVISION OF LAW, FOR A SALE
OF IMPROVED RESIDENTIAL REAL PROPERTY TO A FIRST-TIME MARYLAND HOME
BUYER WHO WILL OCCUPY THE PROPERTY AS A PRINCIPAL RESIDENCE, THE RATE
OF THE TRANSFER TAX IS 0.25% OF THE CONSIDERATION PAYABLE FOR THE
INSTRUMENT OF WRITING AND THE TRANSFER TAX SHALL BE PAID ENTIRELY BY
THE SELLER UNLESS THERE IS AN EXPRESS AGREEMENT BETWEEN THE PARTIES TO
THE AGREEMENT THAT THE TRANSFER TAX WILL NOT BE PAID ENTIRELY BY THE
SELLER.

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