Maryland Real Estate Salesperson Exam — All Questions

The principle of contribution states that the value of a component or improvement is measured by:

• a.The raw number of square feet of floor area or land area that the improvement happens to occupy
• b.The owner's personal emotional attachment to and sentimental feelings about that improvement
• c.Its original construction or installation cost in every case, dollar for dollar, with no exception
• d.How much it adds to the overall value of the property, not its cost✓

Under contribution, an improvement is worth the amount it adds to the whole property's market value, which may be more or less than its cost. This principle explains why some renovations do not fully return their expense, a key point in over-improvement analysis.

Under Internal Revenue Code Section 121, a qualifying homeowner may generally EXCLUDE from taxable capital gain:

• a.Up to $250,000 of gain if single, or $500,000 if married filing jointly✓
• b.Up to a full one million dollars of gain on any property at all, at any time and any frequency
• c.All gain on any and every investment or rental property the taxpayer happens to own and sell
• d.Absolutely nothing, because gain on the sale of a home is always fully and entirely taxable

Section 121 lets homeowners who owned and used the home as their principal residence for at least two of the prior five years exclude up to $250,000 of gain (single) or $500,000 (married filing jointly). It applies to a primary residence, not to investment property.

Depreciation recapture on the sale of investment real estate means that:

• a.All of the depreciation deductions previously claimed are simply refunded to the investor in cash
• b.The investor is legally required to physically restore and rebuild the depreciated building itself
• c.Gain from prior depreciation may be taxed, often at a special rate✓
• d.No income tax is ever owed at all on the sale of a property that has previously been depreciated

When depreciated property is sold at a gain, the portion of gain due to depreciation deductions is 'recaptured' and taxed under special rules, reflecting the earlier tax benefit. It is a tax concept, not a requirement to rebuild, and it increases, not eliminates, tax on sale.

Which appraisal approach is generally MOST reliable for a special-purpose property, such as a church or public school, that rarely sells and earns no market income?

• a.The sales comparison approach, which depends on recent sales of similar comparable properties
• b.The income approach, which converts a property's market rental income into an indicated value
• c.The gross rent multiplier method, which relies on typical market rents that these lack entirely
• d.The cost approach✓

Special-purpose properties have few or no comparable sales and generate no market rent, so the cost approach (replacement cost new, less depreciation, plus land) is typically most reliable. Sales comparison lacks comparables and the income/GRM methods need market income these properties do not produce.

The four characteristics an item must have to possess value in the market, often remembered as DUST, are:

• a.Debt, Utility, Supply, and Taxes, a mix of unrelated financing and cost terms rather than value
• b.Demand, Utility, Scarcity, and Transferability✓
• c.Depreciation, Use, Sale, and Title, which describe stages of ownership rather than value itself
• d.Demand, Ownership, Scarcity, and Time, which swaps in two terms that are not part of the concept

For something to have market value it must have Demand (buyers who want it), Utility (usefulness), Scarcity (limited supply), and Transferability (the ability to convey it). The DUST acronym captures these four essentials of value.

Which body issues and regulates real estate salesperson licenses in Maryland?

• a.The Maryland Real Estate Commission✓
• b.The Maryland Association of Realtors
• c.The Maryland Department of Assessments and Taxation
• d.The county circuit court

The Maryland Real Estate Commission, which operates within the Maryland Department of Labor, licenses and disciplines real estate brokers, associate brokers, and salespersons under the Maryland Real Estate Brokers Act (Business Occupations and Professions Article, Title 17). Trade associations and taxing agencies do not license real estate practitioners.

A Maryland salesperson may lawfully receive compensation for brokerage services from:

• a.The title company handling settlement
• b.The Maryland Real Estate Commission
• c.The broker with whom the salesperson is affiliated✓
• d.Any party to the transaction directly

A Maryland salesperson must be affiliated with a licensed broker and may accept commissions or fees only through that broker, not directly from a buyer or seller. The broker is responsible for supervising the salesperson and for the handling of client funds. Accepting payment directly from a party is a violation of the Brokers Act.

The Maryland Real Estate Guaranty Fund is designed to:

• a.Pay commissions owed between brokers
• b.Guarantee mortgage loans made to buyers
• c.Cover the Commission's administrative expenses
• d.Reimburse consumers for an actual monetary loss caused by certain wrongful acts of a licensee✓

The Guaranty Fund compensates members of the public who obtain a final judgment against a licensee for an actual loss arising from fraud, misrepresentation, or a violation of the Brokers Act and cannot otherwise collect. Payments are subject to statutory limits, and the licensee must repay the fund before the license is restored. It is not a mortgage guaranty or commission-collection fund.

Maryland requires licensees to present the 'Understanding Whom Real Estate Agents Represent' notice to a consumer:

• a.Within three days after a contract is ratified
• b.Only when the consumer is unrepresented
• c.At the first scheduled face-to-face contact regarding a specific property✓
• d.Only at the settlement table

Maryland licensees must provide the agency-representation disclosure notice at the first scheduled face-to-face contact with a consumer concerning a specific property. The notice explains the roles of seller's agent, buyer's agent, dual agent, and subagent so consumers understand who represents their interests before they discuss confidential information.

In Maryland, when one brokerage represents both the buyer and the seller in the same transaction, the broker typically acts as a dual agent and:

• a.Is prohibited from the transaction under all circumstances
• b.Must withdraw and refer both parties elsewhere
• c.May share each party's confidential information freely with the other
• d.Designates separate intra-company agents to represent the buyer and the seller after obtaining written consent✓

Maryland permits dual agency with the written consent of both parties. The broker acts as dual agent and may designate different affiliated (intra-company) agents to advocate for the buyer and the seller respectively. The dual agent may not reveal one party's confidential negotiating information, such as the top price a buyer will pay, to the other.

Under Maryland's Residential Property Disclosure Act, the seller of most single-family residential property must deliver to the buyer either:

• a.An appraisal or a survey
• b.A home warranty or a title insurance policy
• c.A property condition disclosure statement or a disclaimer statement✓
• d.A lead certificate or a radon report

Maryland's Residential Property Disclosure and Disclaimer law (Real Property Article §10-702) requires the seller to give the buyer either a disclosure statement describing the condition of the property and known defects, or a disclaimer statement selling the property 'as is.' Even a seller who disclaims must still disclose known latent defects that could pose a risk to occupants.

Deposit money a Maryland salesperson receives from a buyer must be:

• a.Promptly delivered to the broker for deposit in the broker's trust (escrow) account✓
• b.Deposited in the salesperson's personal account and repaid at closing
• c.Kept by the salesperson until the seller accepts the offer
• d.Forwarded directly to the Real Estate Commission

Client deposit money must be handled through the broker's trust or escrow account. A salesperson who receives a deposit must promptly turn it over to the broker, who must keep it separate from business and personal funds. Commingling or misusing trust money is a serious violation of the Maryland Real Estate Brokers Act.

To qualify for a Maryland real estate salesperson license, an applicant must complete an approved pre-license course of:

• a.60 hours✓
• b.30 hours
• c.120 hours
• d.90 hours

Maryland requires 60 hours of Commission-approved pre-license education before an applicant may sit for the salesperson examination. After passing the exam, the applicant must be affiliated with a licensed broker to activate the license and complete continuing education to renew.

Maryland's prelicensing course in Real Estate Principles and Practices for Salespersons must consist of at least how many clock hours?

• a.45 clock hours
• b.75 clock hours
• c.60 clock hours✓
• d.90 clock hours

A Maryland salesperson applicant must file evidence of a Commission-approved course of a minimum of 60 clock-hours. The regulation then lists the 15 areas the 60 hours must cover, including Maryland Real Estate License Law, Regulations of the Real Estate Commission, and Property Condition Disclosure and Latent Defects; anything else is taught in addition to, not as part of, the 60 hours. Cite: COMAR 09.11.01.09.

How long is the broker prelicensing course of instruction Maryland requires of a real estate broker applicant?

• a.60 clock hours, or 4 semester credit hours
• b.135 clock hours, or 9 semester credit hours✓
• c.90 clock hours, or 6 semester credit hours
• d.180 clock hours, or 12 semester credit hours

Maryland has required the 135 clock-hour or 9 semester credit hour broker course since January 1, 1979, and a semester credit hour means not less than 15 standard 50-minute classroom hours. The salesperson and broker courses are not interchangeable in either direction. Cite: COMAR 09.11.01.12.

Besides the broker course, what practice experience does Maryland require of a real estate broker applicant?

• a.Three years of active brokerage practice as a licensed salesperson✓
• b.One year of active licensure plus a Commission-approved apprenticeship
• c.Two years of active licensure as a real estate salesperson
• d.Five years of licensure in any real-estate-related occupation

The applicant must have completed a Commission-approved broker course that includes a 3 clock hour real estate ethics course, and must have been a licensed real estate salesperson who actively and lawfully provided real estate brokerage services for at least 3 years. Cite: Md. Bus. Occ. & Prof. 17-305(d)(1).

Which Maryland broker license requirements does the Commission waive for an applicant qualified to practice law in this State?

• a.Examination only
• b.Education only
• c.Examination and experience
• d.Education and experience✓

The waiver reaches the education and experience requirements of subsection (d)(1) only. The lawyer still sits the broker examination and must still satisfy the good character, age and other Commission requirements. Cite: Md. Bus. Occ. & Prof. 17-305(d)(2), (e).

How much continuing education must a Maryland licensee complete to qualify for renewal?

• a.At least 9 clock hours during the preceding 2-year term
• b.At least 15 clock hours in the preceding 2-year term✓
• c.At least 12 clock hours during the preceding 2-year term
• d.At least 22.5 clock hours during the preceding 3-year term

The statute sets 15 clock hours per 2-year term and then dictates the distribution, including a 3 clock hour legislative-update course, a 2 clock hour fair housing course, a 3 clock hour ethics course covering the Maryland Code of Ethics, and a 3 clock hour course on brokerage relationships and disclosures. Cite: Md. Bus. Occ. & Prof. 17-315(a), (b).

A Maryland licensee who provides brokerage services solely in connection with nonresidential real estate must devote 2 of the required continuing education clock hours to a course on what subject?

• a.Commercial lease negotiation
• b.Federal, State and local fair housing law and regulations
• c.Maryland's Code of Ethics
• d.The federal Americans with Disabilities Act✓

Commercial-only licensees swap one requirement for another: 2 of the 15 clock hours go to an Americans with Disabilities Act course, and the 2 clock hour fair housing requirement that binds other licensees does not apply to them. Cite: Md. Bus. Occ. & Prof. 17-315(a)(2), (b)(4).

After finishing the prelicensing course, how long does a Maryland salesperson applicant have to pass both portions of the licensing examination?

• a.Six months from the course completion date
• b.Two years from the course completion date
• c.One year from the course completion date✓
• d.Three years from the course completion date

An applicant who does not pass both portions within 1 year of course completion must take a new prelicensing course to be eligible to retake the examination. A separate rule gives an applicant who has passed both parts 1 year to apply for licensure before the test results go stale. Cite: COMAR 09.11.01.09F, G.

With which states has the Maryland Real Estate Commission signed reciprocal licensing agreements?

• a.Pennsylvania and Oklahoma✓
• b.Virginia and the District of Columbia
• c.Delaware and West Virginia
• d.Virginia, Pennsylvania and Delaware

Those are the only two signed agreements; applicants from every other state go through out-of-state license recognition instead. A licensee under the Maryland-Pennsylvania agreement is excused from both examination and continuing education, while one under the Maryland-Oklahoma agreement must pass the state portion of the exam but is excused from continuing education. Cite: Md. Bus. Occ. & Prof. Title 17, Subtitle 3A; Maryland Real Estate Commission, Apply for a Reciprocal License.

A licensee newly designated as a broker, branch office manager, or team leader must complete the 1.5 clock-hour broker supervision course within what time?

• a.30 days of the effective date of the designation
• b.90 days of the effective date of the designation✓
• c.Six months of the effective date of the designation
• d.The 2-year renewal term in which the designation occurs

The course is excused only if the licensee completed it during the previous four years. This regulation was amended effective April 27, 2026. Cite: COMAR 09.11.01.23.

What is the ceiling on recovery from the Maryland Real Estate Guaranty Fund?

• a.$25,000 for each claim
• b.$100,000 for each claim
• c.$50,000 for all claims against one licensee
• d.$50,000 for each claim✓

The cap is per claim, and a broker must put a written notice of that same protection into each sales contract the broker provides to a buyer. Cite: Md. Bus. Occ. & Prof. 17-404(b), 17-405.

Within what period must a claim be submitted to the Maryland Real Estate Guaranty Fund?

• a.One year after the date of settlement
• b.Three years after the date the contract of sale was signed
• c.Three years after the loss is or should be discovered✓
• d.Five years after the act or omission occurred

The clock runs from discovery, actual or by the exercise of ordinary diligence, not from the transaction date. The claim must be in writing, made under oath, state the amount and the facts, and carry supporting documentation. Cite: Md. Bus. Occ. & Prof. 17-404(d), 17-406.

Which amount may a Maryland Guaranty Fund award include?

• a.The claimant's actual loss from the originating transaction✓
• b.Attorney's fees the claimant incurs in perfecting the claim
• c.A commission owed to a licensee acting as agent or principal
• d.Losses from a later transaction with the same licensee

Compensation is restricted to actual monetary loss from the originating transaction and may not include monetary losses from any other transaction, commissions owed to a Commission licensee, or the claimant's attorney's fees. Cite: COMAR 09.11.01.15.

What happens to a licensee's Maryland license when the Commission orders the Guaranty Fund to pay a claim arising from that licensee's conduct?

• a.Nothing happens until a separate disciplinary hearing is held
• b.It is revoked and may not be reissued
• c.It is placed on inactive status for one year
• d.It is suspended immediately, without further proceedings✓

Suspension follows the payment order by operation of law. Reinstatement is barred until the licensee repays the Fund in full with interest and applies to the Commission. Cite: Md. Bus. Occ. & Prof. 17-412; COMAR 09.11.01.20.

A Maryland licensee suspended after a Guaranty Fund payout must repay the amount paid plus interest at what rate before the Commission will consider reinstatement?

• a.6 percent
• b.12 percent✓
• c.10 percent
• d.18 percent

The statute sets a floor of at least 10 percent annually as set by the Commission; the Commission's regulation fixes the figure at 12 percent from the time payment is made. Cite: COMAR 09.11.01.20; Md. Bus. Occ. & Prof. 17-411(a)(2).

Who is barred from making a claim against the Maryland Real Estate Guaranty Fund?

• a.A buyer who was not represented by any agent
• b.A claimant who lives outside Maryland
• c.The spouse of the licensee alleged to be responsible✓
• d.A seller who has already sued the licensee

The bar covers the spouse of the licensee or unlicensed employee alleged to be responsible and that spouse's personal representative. Losses tied to real estate limited partnerships, promoted joint ventures, and commercial paper secured by real estate are excluded as well. Cite: Md. Bus. Occ. & Prof. 17-404(c).

Instead of or in addition to a reprimand, suspension, or revocation, what penalty may the Maryland Real Estate Commission impose?

• a.Up to $1,000 for each violation
• b.Up to $10,000 for each violation
• c.Up to $25,000 for all violations by one licensee
• d.Up to $5,000 for each violation✓

In setting the amount the Commission weighs the seriousness of the violation, the harm caused, the licensee's good faith, and any history of previous violations, and pays the money collected into the General Fund of the State. Cite: Md. Bus. Occ. & Prof. 17-322(c).

A Maryland listing contract promises the seller a fixed net return and leaves the licensee free to keep anything above that price. What is the licensee's position?

• a.It is grounds for discipline by the Commission✓
• b.It is permitted if the seller consents in writing
• c.It is permitted only in commercial transactions
• d.It is permitted if the excess is disclosed at settlement

Accepting a net listing is listed among the grounds on which the Commission may deny, reprimand, suspend or revoke, alongside accepting a listing with no definite termination date that is effective automatically without notice. Cite: Md. Bus. Occ. & Prof. 17-322(b)(10), (11).

Maryland's advertising statute requires that an advertisement carry the licensee's name or designated name plus what?

• a.The logo of the business with which the licensee is affiliated
• b.The full name of the affiliated business✓
• c.The licensee's Commission license number
• d.The telephone number of the Real Estate Commission

Both the licensee's name as it appears on the license certificate and the business name must be meaningfully and conspicuously included, and the business name must be the full name rather than a logo. Advertisement is defined broadly enough to reach business cards, sign riders, automobile signage and internet voice-overs. Cite: Md. Bus. Occ. & Prof. 17-527.2.

The Commission may summarily dismiss a complaint against a Maryland licensee brought more than how long after the conduct complained of?

• a.One year
• b.Two years
• c.Three years✓
• d.Five years

The period runs from the date of the written listing contract, contract of sale, lease agreement, option, or the actions the complaint is based on, and the Commission may still hear a late complaint if it finds the delay justified and not an undue burden on the licensee. Cite: COMAR 09.11.01.19.

Maryland's statutory brokerage relationships apply to which property?

• a.Property improved by one to four single-family units✓
• b.Any real property offered for sale in the State
• c.Real property improved by one or two single-family units only
• d.Residential real property of any size, improved or not

The part also reaches unimproved real property zoned for residential use by the local zoning authority. Cite: Md. Bus. Occ. & Prof. 17-529(a).

Maryland's brokerage relationship provisions do not apply to a lease of what duration?

• a.30 days or less
• b.90 days or less
• c.One year or less
• d.125 days or less✓

The exclusion is written as a flat day count, so short-term and seasonal rentals fall outside the agency disclosure and dual agency machinery of Part III. Cite: Md. Bus. Occ. & Prof. 17-529(b).

Under what condition may a Maryland real estate broker act as a dual agent?

• a.With the oral consent of the seller alone
• b.Whenever both sides are represented by the same brokerage
• c.On the written informed consent of all parties✓
• d.Only in transactions the Commission has approved in advance

Dual agency is prohibited in Maryland except on that written informed consent, and the consent form must state, among other things, that the broker owes undivided loyalty to neither side and that the buyer or seller did not have to consent. Cite: Md. Bus. Occ. & Prof. 17-530.1(a), (b), (c).

Once dual agency is consented to in Maryland, what must the dual agent do?

• a.Personally advise both the seller and the buyer on price
• b.Assign an intra-company agent to each side✓
• c.Withdraw from representing the seller
• d.Refer one party to a broker at another firm

The two intra-company agents are affiliated licensees of the same broker, and each provides the client the same services an ordinary seller's or buyer's agent would, including advice on price and negotiation strategy. Cite: Md. Bus. Occ. & Prof. 17-530.1(b)(1)(ii), (v).

In a single Maryland transaction, may the same individual serve as both the dual agent and an intra-company agent?

• a.No; the statute bars the overlap both ways✓
• b.Yes, if the brokerage has fewer than five licensees
• c.Yes, with the written consent of both clients
• d.Yes, but only on the seller's side

The statute bars the overlap in both directions. Confidential information moves from the intra-company agent up to the dual agent, but the dual agent may not pass it to the other side or to the other side's intra-company agent. Cite: Md. Bus. Occ. & Prof. 17-530.1(b)(1)(iii), (vii).

When must a Maryland licensee make the written agency disclosure to a party with whom the broker has no written brokerage agreement?

• a.Before any telephone conversation takes place
• b.Before the party's offer is presented
• c.At the time the contract of sale is signed
• d.Not later than the first scheduled face-to-face contact✓

The written disclosure is the one Maryland calls Understanding Whom Real Estate Agents Represent, and the deadline is the first scheduled face-to-face contact with that seller, lessor, buyer or lessee. Cite: Md. Bus. Occ. & Prof. 17-530(b)(1).

A Maryland seller's agent holds a property open to the public. How does the agent satisfy the agency disclosure requirement?

• a.By obtaining each visitor's signature on the disclosure form
• b.By conspicuously displaying the Commission's notice✓
• c.By announcing the representation to each visitor on arrival
• d.The requirement does not apply at an open house

The statute lets a conspicuous notice to prospective buyers or lessees, prepared and provided by the Commission, stand in for individual written disclosure while the property is held open to the public. Cite: Md. Bus. Occ. & Prof. 17-530(b)(2).

If a Maryland buyer's agent's first contact with a seller is not face to face, what does the agent owe that seller?

• a.Nothing until the parties meet in person
• b.A mailed copy of the brokerage agreement
• c.Disclosure through the medium in which the contact occurs✓
• d.A written disclosure within three days of that first contact

The rule is symmetrical: a seller's agent whose first contact with a prospective buyer is not face to face must disclose through that same medium that the agent represents the seller. This obligation is in addition to the written disclosure. Cite: Md. Bus. Occ. & Prof. 17-530(a)(3).

May a Maryland client and licensee agree to waive the licensee's statutory duties of care, confidentiality and honest treatment?

• a.No; they may not be waived or modified✓
• b.Yes, if the waiver is signed by both parties
• c.Yes, in a transaction involving a commercial property
• d.Yes, if the client is represented by an attorney

The duties in the statute are in addition to other duties imposed by law and may not be waived or modified. Performing ministerial acts for a non-client neither breaches those duties nor forms a brokerage relationship, provided the client consented to ministerial acts in the brokerage agreement. Cite: Md. Bus. Occ. & Prof. 17-532(g), (h).

In Maryland, what does the payment of a commission to a broker establish about a brokerage relationship?

• a.It creates a brokerage relationship with the payer
• b.Nothing; who pays is not determinative of the relationship✓
• c.It makes the broker a subagent of the payer
• d.It creates a dual agency if both sides contribute

A brokerage relationship commences when a client enters into a brokerage agreement, not when money changes hands, and the payment or promise of payment neither creates nor determines the existence of one. Cite: Md. Bus. Occ. & Prof. 17-534(a), (e).

How soon after both parties accept a contract of sale must a Maryland broker deposit the trust money?

• a.By the close of the next business day
• b.Not more than 3 business days after the acceptance
• c.Not more than 10 banking days after the acceptance
• d.Not more than 7 business days after the acceptance✓

The salesperson or associate broker who receives trust money must submit it to the broker promptly, and the broker has that 7 business day outside limit unless written directions authorized by the statute say otherwise. Cite: Md. Bus. Occ. & Prof. 17-502.

Where must a Maryland broker deposit trust money?

• a.In an insured financial institution located in this State✓
• b.In any federally insured institution in the United States
• c.In the settlement company's escrow account
• d.In an institution the buyer selects

The institution must be located in Maryland and insured by the FDIC, the National Credit Union Administration, or one of the other funds the statute names. Cite: Md. Bus. Occ. & Prof. 17-503.

Unless the owner and beneficial owner instruct otherwise in writing, what kind of account holds Maryland trust money?

• a.An interest-bearing account with interest credited to the seller
• b.The broker's general operating account
• c.A non-interest-bearing account designated as funds held for others✓
• d.An attorney's client trust account

The broker may use a non-interest-bearing checking account, a non-interest-bearing savings account, or a combination, and the regulation requires the account to be clearly designated as containing funds held for others. Cite: Md. Bus. Occ. & Prof. 17-504; COMAR 09.11.01.06.

Who may sign checks drawn on a Maryland broker's escrow account?

• a.Only the broker, personally
• b.The broker, or a designated alternate who is a licensee✓
• c.Any office employee whom the broker authorizes in writing
• d.Any party to the transaction the funds belong to

The broker must be a signator or one of the signators at all times. A nonlicensed person may be a cosignator only if every check is also cosigned by a designated licensee. Cite: COMAR 09.11.01.17.

A Maryland broker moves the escrow account to a different bank. Within what time must the Commission be notified in writing?

• a.5 days after the action
• b.30 days after the action
• c.At the next license renewal
• d.10 days after the action✓

The same 10-day written notice applies when the broker establishes another non-interest-bearing or special escrow account or changes the escrow account number, and the bank's name and account number must be reported as soon as trust monies are received. Cite: COMAR 09.11.01.07A.

A Maryland broker gives the statutory notice of intent to distribute disputed deposit money. How long does a party have to protest?

• a.10 days from the date the notice was delivered or mailed
• b.15 days from the date the notice was delivered or mailed
• c.30 days from the date the notice was delivered or mailed✓
• d.60 days from the date the notice was delivered or mailed

A written protest, hand delivered or sent by certified and regular mail, forces the broker back to the ordinary routes: consummation or termination, written instructions from both parties, or a court order on interpleader. With no protest, the broker distributes according to the notice. Cite: Md. Bus. Occ. & Prof. 17-505(b).

A Maryland buyer receives the residential property condition disclosure statement only after signing the contract. What may the buyer do?

• a.Rescind within 5 days after receiving the statement✓
• b.Rescind within 3 days following receipt of the statement
• c.Rescind within 10 days following receipt of the statement
• d.Nothing; the right to rescind ends at signing

The buyer may rescind at any time before receiving the statement or within 5 days after receiving it, and is entitled to the immediate return of deposits. The right terminates on a written mortgage application where the lender has given the prescribed warning. Cite: Md. Real Prop. 10-702(h).

A Maryland seller delivers the disclaimer statement rather than the condition disclosure. What must the seller still do?

• a.Complete the full condition disclosure anyway
• b.Furnish a home inspection report at the seller's expense
• c.Nothing further; the property is sold entirely as is
• d.Disclose latent defects actually known to the seller✓

Latent defects are material defects a purchaser would not reasonably discover by careful visual inspection and that pose a direct threat to the health or safety of the purchaser or an occupant. Apart from those, the disclaimer states that the vendor makes no representations and the property is taken as is, with all defects. Cite: Md. Real Prop. 10-702(a), (d).