EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
amendment.
*hb1151*
HOUSE BILL 1151
N1 5lr1457
By: Delegates Taylor, Acevero, Alston, Amprey, Boafo , Conaway, Crutchfield,
Fennell, Harris, Holmes, Kaufman, Lehman, Martinez, McCaskill, Pasteur,
Pena–Melnyk, Phillips, Roberson, Roberts, Ruff, Simpson, Taveras, Toles,
Turner, Valderrama, Wells, White Holland, Wilkins, Wims, and Woods
Woods, Allen, Boyce, Healey, R. Lewis, J. Long, and Ruth
Introduced and read first time: February 6, 2025
Assigned to: Environment and Transportation
Committee Report: Favorable with amendments
House action: Adopted
Read second time: March 6, 2025
CHAPTER ______
AN ACT concerning 1
Residential Real Property Sales – Appraisals 2
FOR the purpose of authorizing the seller of residential real property to request that a 3
certain lender have an additional appraisal made under certain circumstances 4
providing that a seller or the seller’s agent may provide certain information to an 5
appraiser of residential real property at certain times and under certain 6
circumstances; requiring an appraiser to provide a lender with certain information 7
under certain circumstances and for the lender to provide notice of the information 8
to a prospective buyer; requiring a buyer to work with a seller to provide certain 9
information for an appraiser under certain circumstances; requiring the lender to 10
provide to the seller a requesting party a written copy of the additional an appraisal 11
or a reconsideration; establishing that training and continuing education for licensed 12
appraisers shall include information on the requirements of this Act; and generally 13
relating to appraisals for residential real property. 14
BY repealing and reenacting, with amendments, 15
Article – Real Property 16
Section 14–104.1 17
Annotated Code of Maryland 18
(2023 Replacement Volume and 2024 Supplement) 19
2 HOUSE BILL 1151
BY adding to 1
Article – Real Property 2
Section 14–104.2 3
Annotated Code of Maryland 4
(2023 Replacement Volume and 2024 Supplement) 5
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 6
That the Laws of Maryland read as follows: 7
Article – Real Property 8
14–104.1. 9
(A) If a bank, mortgage banker, savings and loan association, or any other lender 10
has an appraisal made on residential real property to establish a market value for lending 11
purposes, the lender shall give a copy of any written appraisal to the borrower on [his] THE 12
BORROWER ’S request if the borrower pays the cost of the appraisal. 13
(B) The appraisal may be submitted to another lender if the original lender has 14
rejected the borrower’s loan application. 15
14–104.2. 16
(A) IF THE APPRAISAL OF R ESIDENTIAL REAL PROPERTY MADE UNDER § 17
14–104.1 OF THIS SUBTITLE IS LOWER THAN THE CURRE NT MARKET VALUE OF T HE 18
PROPERTY, THE SELLER MAY REQUE ST THAT THE LENDER H AVE ONE ADDITIONAL 19
APPRAISAL MADE . 20
(A) (1) A SELLER OR THE SELLER ’S AGENT MAY, AT ANY TIME DURING 21
THE SALE PRO CESS, PROVIDE TO AN APPRAI SER MAKING AN APPRAI SAL UNDER § 22
14–104.1 OF THIS SUBTITLE INF ORMATION OBTAINED BY THE SELLER RELATING TO 23
THE VALUE OF THE SEL LER’S RESIDENTIAL REAL P ROPERTY, INCLUDING 24
COMPARABLE SALES AND COST APPROACH INFORM ATION. 25
(2) AN APPRAISER SHALL ACCEPT A ND CONSIDER ANY INFO RMATION 26
PROVIDED BY A SELLER UNDER PARAGRAPH (1) OF THIS SUBSECTION . 27
(B) (1) IF AN APPRAISER CONCL UDES THE APPRAISAL V ALUE OF 28
RESIDENTIAL REAL PRO PERTY IS LOWER THAN THE CONTRACT PRICE F OR THE SALE 29
OF THE PROPERTY , THE APPRAISER SHALL NOTIFY THE LENDER AN D THE LENDER 30
SHALL PROMPTLY NOTIF Y THE PROSPECTIVE BU YER AND THE PROSPECT IVE 31
BUYER’S AGENT. 32
(2) ON RECEIPT OF NOTICE FROM A LENDER UNDER PARAGRAPH (1) 33
OF THIS SUBSECTION , A BUYER SHALL PROMPT LY NOTIFY THE SELLER , AND THE 34 HOUSE BILL 1151 3
BUYER AND THE SELLER SHALL HAVE 2 BUSINESS DAYS TO PRO VIDE ADDITIONAL 1
INFORMATION ON THE R ESIDENTIAL REAL PROP ERTY TO THE LENDER F OR 2
SUBMISSION TO , AND RECONSIDERATION BY THE APPRAISER . 3
(3) AN APPRAISER WHO RECE IVES ADDITIONAL INFO RMATION IN 4
ACCORDANCE WITH PARA GRAPH (2) OF THIS SUBSECTION S HALL ALSO CONSIDER A 5
COST APPROACH AS PAR T OF A RECONSIDERATI ON OF THE APPRAISED VALUE . 6
(C) (1) THIS SUBSECTION APPLI ES ONLY TO THE OWNER OF RESIDENTIAL 7
REAL PROPERTY SEEKIN G TO REFINANCE A MOR TGAGE OR ESTABLISH A HOME 8
EQUITY LINE OF CREDI T. 9
(2) IF THE APPRAISED VALU E OF RESIDENTIAL REA L ESTATE IS 10
LOWER THAN AN OWNER ’S EXPECTED APPRAISAL V ALUE, THE OWNER HAS THE 11
RIGHT TO PROVIDE ADD ITIONAL INFORMATION , INCLUDING COMPARABLE SALES 12
INFORMATION , TO A LENDER REGARDIN G THE RESIDENTIAL RE AL PROPERTY. 13
(3) THE LENDER SHALL PROV IDE THE NEW INFORMAT ION PROVIDED 14
BY THE OWNER TO T HE APPRAISER FOR REC ONSIDERATION . 15
(B) (D) A WRITTEN COPY OF AN ADDITIONAL APPRAISAL OR A 16
RECONSIDERATION MADE UNDER THIS SECT ION SHALL BE PROVIDE D BY THE 17
LENDER TO THE SELLER AT NO COST TO THE SELLER REQUESTING PARTY AT NO 18
COST TO THE REQUESTI NG PARTY. 19
(E) ANY TRAINING OR CONTI NUING EDUCATION FOR LICENSED 20
APPRAISERS IN THE STATE SHALL INCLUDE I NFORMATION ON THE RE QUIREMENTS 21
OF THIS SECTION. 22
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 23
October 1, 2025. 24
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.