Marcus is a licensed real estate salesperson in Maryland working with a buyer client, Jennifer. Jennifer is interested in purchasing a townhouse, and the seller has elected to provide a Disclaimer Statement rather than a full Disclosure Statement. Jennifer asks Marcus whether she should be concerned. Which of the following statements most accurately reflects Maryland law regarding the seller's Disclaimer Statement?
Correct Answer
D) Jennifer should understand the property is sold as-is, but she still has a three-day right to rescind after receiving the disclaimer
Under Md. Code Ann., Real Prop. § 10-702, when a seller provides a Disclaimer Statement, the property is being sold as-is without representations about its condition. However, the buyer still retains the statutory three-day right to rescind the contract after receiving the Disclaimer Statement. Both the Disclosure Statement and the Disclaimer Statement trigger the same three-day rescission right for the buyer.
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Related Topics & Key Terms
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Related Concepts
A stigmatized property is one that has an undesirable reputation due to events that occurred on the property or nearby, such as a murder, suicide, alleged haunting, or proximity to a registered sex offender. The stigma is psychological, not physical.
An as-is clause in a real estate contract states that the buyer accepts the property in its current condition without requiring the seller to make any repairs. However, an as-is sale does NOT eliminate the seller's obligation to disclose known defects.
Asbestos disclosure involves informing buyers about the presence of asbestos-containing materials (ACMs) in a property. Asbestos was commonly used in construction materials before 1980 and poses health risks when fibers become airborne.
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