In short
No official source gives a “typical” Maryland closing-cost percentage, so add the lines up. The biggest fixed item is tax: the State charges a 0.5% transfer tax (Tax-Property Article § 13-203), and Baltimore City adds a 1.5% transfer tax and $5 per $500 recordation tax (City Code Art. 28). Recording a document about a principal residence costs $60 (Maryland Judiciary fee schedule, effective September 2, 2026).
Why is there no single “typical” total?
Some Maryland costs are set by a government: taxes, court recording fees and title insurance premiums. Others are set by private companies: lender charges, settlement fees, inspections and surveys. The prorated property tax and escrow deposits depend on the house and the closing date.
Two federal forms show the variable lines. Your lender must give you a Loan Estimate within three business days of your application, and you must receive the Closing Disclosure at least three business days before closing (Consumer Financial Protection Bureau). For a general walk-through, see closing costs explained.
Line by line: what each cost is
Transfer and recordation taxes. These are usually the largest government charges. The State rate is 0.5% of the price (0.25% for a first-time Maryland buyer, paid by the seller). Counties and Baltimore City add local taxes. Our Maryland transfer tax page has the rates, exemptions and the Baltimore City discounts.
Recording fees. The Circuit Court clerk charges $60 for each instrument involving solely a principal residence, other than a release. A release of 9 pages or fewer costs $50. Other instruments cost $60 under 9 pages and $115 over 10 pages (Judiciary fee schedule). A deed and a deed of trust are separate instruments.
Lender charges. Origination, appraisal, credit report and underwriting fees are set by the lender and its vendors. Compare them on the standard Loan Estimate. See also home appraisal cost.
Title insurance. The Maryland Insurance Administration (MIA) regulates premiums. The fees a title company charges for settlement services, such as document preparation or conducting the settlement, are not regulated and differ between agents. The buyer chooses the title company, and only licensed producers may conduct settlements in Maryland (MIA). A lender’s policy protects the lender only; an owner’s policy is a separate purchase, and buying both together may save on premium. See title insurance explained.
Survey, inspection and insurance. These are set by the providers. See home inspection cost, land survey cost and homeowners insurance.
Prepaids and reserves. The first property tax installments and insurance may be collected into an escrow account. How much depends on your tax bill; see Maryland property tax.
Who pays what in Maryland?
| Cost | Who pays |
|---|---|
| State and local transfer tax, recordation tax | Shared equally if the contract is silent (Real Property § 14-104(b)); entirely the seller when a first-time Maryland buyer will occupy the home, unless the contract says otherwise for local taxes (§ 14-104(c)) |
| Mortgage recordation tax | None on a qualifying purchase-money mortgage or deed of trust (Tax-Property § 12-108(i)) |
| Court recording fees | The statutes read set no default; the sales contract decides |
| Lender and appraisal charges | Buyer, as shown on the Loan Estimate |
| Title premium and settlement fees | Negotiated; the buyer chooses the title company |
| Brokerage compensation | See real estate commission |
The statutes read here set a default for taxes only. For the other lines, the sales contract decides.
Worked example: a $350,000 home in Baltimore
This is an example, not a quote. Assume a $350,000 purchase, an owner-occupant buyer who is not a first-time Maryland buyer, and an $280,000 loan. Only the lines fixed by law are calculated.
| Line | Rule used | Amount |
|---|---|---|
| State transfer tax | 0.5% × $350,000 | $1,750 |
| City transfer tax | 1.5% × $350,000 (price above $250,000, so no discount) | $5,250 |
| City recordation tax | ($350,000 − $22,000) ÷ $500 × $5 | $3,280 |
| Mortgage recordation tax | Qualifying purchase-money deed of trust | $0 |
| Recording fees, deed and deed of trust | 2 instruments × $60 | $120 |
| Title premium, settlement fee, lender charges | Set by each provider | See your Loan Estimate and title company quote |
Taxes total $10,280. If the contract is silent, each side bears half of the taxes before the exemption, and the city code gives the buyer the benefit of the $22,000 exemption, worth $220 here. Rerun the formulas at another price. For a first-time Maryland buyer in the same sale, the seller owes $875 of State tax (0.25%) and pays the local taxes too, unless the contract says otherwise.
For the neighborhood and city facts, see the Baltimore guide. For attorneys, see Maryland real estate attorney.
Frequently asked questions
Does Maryland have a transfer tax on home sales?
Yes. The State rate is 0.5% of the consideration, and counties and Baltimore City add local transfer taxes and a recordation tax. First-time Maryland buyers who will live in the home pay a reduced 0.25% State rate, paid by the seller.
Who pays the transfer and recordation taxes in Maryland?
If the contract is silent, the law presumes the buyer and seller share them equally. When a first-time Maryland buyer will occupy the home, the seller pays all the State transfer tax and, unless the contract says otherwise, the local taxes.
How much does it cost to record a deed in Maryland?
For an instrument involving solely a principal residence, the Circuit Court clerk charges $60, according to the Judiciary’s fee schedule effective September 2, 2026. Taxes are charged separately.
Are title insurance premiums regulated in Maryland?
Yes, the Maryland Insurance Administration regulates the premiums. Settlement fees that title companies charge are not regulated, so you can compare them by contacting several agents.
When will I know my exact closing costs?
Your lender must send a Loan Estimate within three business days of your application. You must receive the Closing Disclosure, with the final figures, at least three business days before closing.
Compare with the other states: Closing costs by state.
More Maryland guides
- Maryland transfer tax: 0.5% state rate and Baltimore's 1.5%
- Maryland property tax: how it works and the homestead credit
- Seller disclosure in Maryland: disclosure or disclaimer form
- Do you need a real estate attorney to close in Maryland?
- How foreclosure works in Maryland: notice, mediation, timeline
- Home prices in Maryland and Baltimore: median value and trend
- First-time buyer programs in Maryland and Baltimore
- How to verify a real estate license in Maryland
- Buying a rental property in Maryland: tenant rules to know
Sources
- Maryland Tax-Property Article § 13-203, State transfer tax (Maryland General Assembly) (consulted October 13, 2026)
- Maryland Tax-Property Article § 12-108, recordation tax exemptions (Maryland General Assembly) (consulted October 13, 2026)
- Maryland Real Property Article § 14-104, division of taxes (Maryland General Assembly) (consulted October 13, 2026)
- Baltimore City Code, Art. 28, Subtitles 16 and 17 (City of Baltimore Law Library) (consulted October 13, 2026)
- Summary of Charges, Costs, and Fees of the Clerks of the Circuit Court, effective September 2, 2026 (Maryland Judiciary) (consulted October 13, 2026)
- Land Records (Maryland Judiciary) (consulted October 13, 2026)
- Title Insurance (Maryland Insurance Administration) (consulted October 13, 2026)
- Title Insurance FAQs, January 20, 2022 (Maryland Insurance Administration) (consulted October 13, 2026)
- What is a Loan Estimate? (Consumer Financial Protection Bureau) (consulted October 13, 2026)
- What is a Closing Disclosure? (Consumer Financial Protection Bureau) (consulted October 13, 2026)