Selling a Maryland house after you've moved out of state

You can sell your Maryland house from another state without flying back for closing. The part that surprises most out-of-state sellers is tax. When someone who lives outside Maryland sells Maryland property, the settlement company has to hold back part of the proceeds for the state at closing. You may get some or all of it back later, so plan for it.

Maybe you moved for work, followed family, or have an inherited house sitting in Baltimore County while you live somewhere else. Most of what changes when you sell from far away comes down to tax, signatures and an empty house.

How much does Maryland withhold when a nonresident sells?

For sales after June 30, 2025, the rate is 8.75% for nonresident individuals and 8.25% for nonresident businesses. The settlement company works out the amount on Maryland's withholding form, Form MW506NRS, and the payment has to be made before the deed can be recorded.

The money withheld is a prepayment of your Maryland income tax on the sale. You file a Maryland nonresident return for that year, and if more was withheld than you owe, the state refunds the difference. If you don't want to wait for your tax return, you can apply for a tentative refund after closing, unless the house sold for $1.5 million or more.

Is there a way to avoid the withholding?

Sometimes. If the house was your principal residence, or the sale fits another exemption, you can apply for an exemption certificate on Maryland's Form MW506AE. The Comptroller has to receive the application at least 21 days before closing, so start it as soon as you sign a contract.

The IRS test for a principal residence looks at whether you lived in the house for two of the five years before the sale, so the date you moved out matters. A tax preparer can tell you whether you qualify.

How do I sign the papers from another state?

Maryland allows remote online notarization, so many settlement companies can have you sign by video. Others send the documents to a mobile notary near you, and you mail the originals back. Ask which way your settlement company works when you sign the contract.

Every owner on the deed has to sign. If a co-owner or an heir lives in a third state, each person needs their own notary appointment, and closing waits on the last signature.

Your proceeds can be wired to your bank wherever you live. Confirm the wiring instructions by calling the settlement company at a number you already have, never one from an email.

What should I watch with an empty house while it sells?

Read your homeowners policy. Many policies limit coverage once a house has been empty for a set period, often 30 or 60 days. Tell your insurer you've moved out and ask whether you need a vacant home policy.

Keep the heat on in winter and have someone check on the house every week or two. A burst pipe in an empty house can run for days before anyone notices.

Keep paying the property tax and the water bill. Unpaid bills on a Maryland house can turn into liens, and property tax that stays unpaid long enough can end up in the county's tax sale.

How Maryland's tax sale works

How a sale works with us from out of state

We buy Maryland houses from owners who've moved away, as the houses sit. You don't need to come back, clean out the house or fix anything. Tell us how to get inside, through a neighbor, a tenant or a lockbox, and we'll do the walkthrough and send the offer. There are no fees and no closing costs on our side.

If the house is in Baltimore County, Anne Arundel, Harford or Prince George's County, you can also reach Mal through Memorable Home Buyers, his Maryland company. Either way, you talk to him. Call or text (443) 806-8068.

Selling a house in Baltimore County from out of state

How we buy houses in Anne Arundel County

Memorable Home Buyers, Mal's Maryland company