How Much Does It Cost to Buy a House in Maryland?

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By Jon Stubbs Updated May 17, 2024

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The average home buyer in Maryland spends between $35,593 and $118,223 when purchasing a $414,972 home — the state median value.

Keep in mind, this is just the cost of buying a home. After you close, you'll still need to budget for all the ongoing costs of homeownership.

Luckily, Clever Real Estate can help make buying a home more affordable. Working with a Clever agent means you'll not only get great service from start to finish, but you could also be eligible for up to 0.5% cash back after closing. That's about $2,075 back on an average-priced home in Maryland!

Clever will connect you with a top local agent and send you a check after closing. Contact Clever for full-service realtor recommendations.

Average closing costs in Maryland

Expense Amount
Earnest money deposit (1-3%) $4,150 to $12,449
Down payment (3.5-20%) $14,524 to $82,994
Cash reserves $4,440 to $6,659
Closing costs (2.60%) $10,782
Inspection $232
Appraisal $216
Moving $1,250 to $4,890
Total $35,593 to $118,223
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Buyer closing costs in Maryland

While the other costs to buy a house in Maryland are pretty transparent, Maryland closing costs are a bit more nuanced. They're actually a series of smaller costs lumped together into one total. Here's a breakdown of all of the Maryland closing costs you'll likely pay when buying a home.

Closing cost Amount
Closing fee $415
Recording fee $98
Title service fees $1,290
Origination fee $2,075
Underwriting fee $600
Discount points $3,320 per point
Lender's title insurance $494
Owner's title insurance $1,453
Prorated property tax Varies
Transfer tax 0.25%
Total $10,782
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Does the buyer or seller pay closing costs in Maryland?

The seller typically pays the bulk of the closing costs in Maryland. The seller is responsible for costs like title insurance, real estate transfer tax, and recording fees. The seller also pays their listing agent.

Traditionally, the seller has covered the buyer's agent fees as well. However, a November 2023 lawsuit decision against the National Association of Realtors makes it likely that buyers will be responsible for their own agent's fees going forward.

Will the NAR lawsuit change how real estate commission works?

On March 15, 2024, the National Association of Realtors agreed to pay $418 million in damages to settle a real estate commission lawsuit the industry group lost in November 2023. 

While the full impact of the settlement is yet to be determined, experts believe that the change will eventually lead to lower buyer's agent commissions and give buyers the ability to negotiate those commissions based on the services they need. 

The terms of the settlement are scheduled to take effect in mid-July 2024. But, the settlement hasn't been officially approved yet, and it could be delayed or changed by objections. We'll continue to monitor the status of the settlement and the effects it has on the real estate industry.

» READ MORE:

Keep in mind, closing costs are often negotiable. Motivated sellers will sometimes agree to pay for some of the buyer's closing costs. However, to win the negotiation battle, you'll need a great agent who can work out a deal with the seller. Clever can match you with a top agent in your area that can get the seller to shoulder more of the above costs.

Contact us at Clever for top agent recommendations.

Cost to buy a house in Maryland calculator

Ongoing costs of homeownership in Maryland

Unfortunately, the cost to buy a house is just the beginning. After closing, you'll officially own the home and begin paying for the ongoing costs of homeownership.

Besides the expenses outlined above, you'll also want to consider private mortgage insurance (PMI) and homeowner's association (HOA) fees.

  • If you pay less than 20% as a down payment on your house, you'll probably have to pay PMI monthly until you get to 20% equity. For the average Maryland homeowner, this is between $181 to $611 a month.
  • Some neighborhoods have HOA fees for the care and maintenance of common areas. The national average is around $250 per month.

» MORE: The true cost of homeownership

Top ways to save money when buying a house in Maryland

1. Look into better financing options

Paying off debts and getting your credit in the best shape possible before applying for a loan will help you get a better interest rate, which will lower your monthly payments for the life of the loan.

You can also shop around to compare lenders so you get the lowest fees and interest rates available. It may be a good idea to enlist the help of a mortgage broker if you're not sure how to go about vetting lenders.

2. Participate in home buyer programs in Maryland

The Maryland HUD page lists several local home buyer programs throughout the state. These programs typically come in the form of down payment assistance or favorable lending terms depending on your income and where you’re buying.

You may also be eligible for a state-wide program, such as the Maryland Department of Housing and Community Development’s Maryland Mortgage Program (MMP). They offer several options for assistance depending on your situation, including specialty loans for those who need help modifying a home for accessibility. There is also the USDA Rural Housing Program, which makes affordable housing available to those buying in select rural areas.

» MORE: First-time home buyer programs everyone should know about

3. Partner with an expert agent

Some real estate companies, like Clever, offer home buyers a percentage of their home's price back after the sale finalizes.

That means if you work with a Clever agent, you'll not only get the expertise that helps you get the best deal possible — you could also get up to 0.5% of your home price back after closing!

Find your agent through Clever, qualify for cash back!

Clever matches you with top local agents so you can compare options and choose the best fit. And eligible buyers can get cash back after closing.

Fill out the form below and get started now. Clever's service is 100% free with no obligation.

Methodology

The Clever team of researchers gathered data for property taxes, transfer taxes, and recording fees using publicly available information. We found average costs for attorney fees, title insurance, and other services by requesting quotes from local providers. 

Home values are based on Zillow data as of May 2024.

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Authors & Editorial History

Our experts continually research, evaluate, and monitor real estate companies and industry trends. We update our articles when new information becomes available.

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