Maryland Amends Owner Occupied Foreclosure Sales and Notary Public Fees
by: Paul McSheffrey
Foreclosure Sale of Owner Occupied Residential Real Property
Maryland has amended provisions regarding residential real property foreclosure with House Bill 595. Under 7-105.1(N-1), if a certified community development financial institution makes an offer to a secured party to purchase owner-occupied residential property, no person may require as a condition of the sale any limitation on ownership or occupancy of the property by the immediately preceding mortgagor. Any affidavit, statement, or agreement is unenforceable against any person named in such document if its purpose is to avoid a sale or transfer of property to a certified community development financial institution.
Under the act, a “certified community development financial institution” is defined in 7-105.1(a)(2) as a community development financial institution that is certified by The Community Development Financial Institutions Fund in the U.S. Department of the Treasury. The federal statutes regulating such institutions are found beginning at 12 U.S.C. ยง 4701 and following. The definition includes any company that controls, is controlled by, or is under common control with a certified community development financial institution.
Additionally, the act provides under 12-108(FF) that an instrument which transfers residential real property from a certified community development financial institution to an immediately preceding mortgagor is not subject to the Maryland recordation tax. Under 13-207(a)(24), those same instruments are not subject to the Maryland transfer tax.
These changes are effective immediately.
Notary Public Fees
On March 12, 2014, the Maryland Secretary of State adopted changes to COMAR 01.02.08.03, regarding the fees that a notary public may charge. Under the amended regulation a notary public may now charge $4.00 for performing an original notarial act (increased from $2.00). An original notarial act includes taking an acknowledgment, taking an oath or affirmation, or acting as an official witness.
The amendment was proposed in August under 40:17 Md. R. 1423 and has been adopted as proposed. These changes became effective on April 1, 2014.
About the Author
Paul McSheffrey, J.D. is Regulatory Compliance Consultant at Bankers Advisory. He is a graduate of Northeastern University and earned his Juris Doctor at the New England School of Law. Paul is admitted to the Bar in Massachusetts and New York. He can be reached at paul@bankersadvisory.com
Paul McSheffrey, JD, is a senior regulatory compliance consultant with CLA. He is a graduate of Northeastern University and earned his juris doctor at the New England School of Law. He is admitted to the Bar in both Massachusetts and New York.
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