Section 14-129 - Redemption of ground rent.

§ 14-129. Redemption of ground rent.
 

(a)  Applicability.- This section does not apply to a: 

(1) Home equity line of credit; 

(2) Loan secured by an indemnity deed of trust; or 

(3) Commercial loan. 

(b)  Notification.- Before the settlement of a loan secured by a mortgage or deed of trust on residential real property improved by four or fewer single-family units that is subject to a redeemable ground rent, the settlement agent shall notify the borrower that: 

(1) The borrower has the right to redeem the ground rent under § 8-110 of this article; 

(2) The redemption amount is fixed by law but may also be negotiated with the ground lease holder for a different amount; 

(3) It may be possible to include the amount of the redemption in this loan; 

(4) For information on redeeming the ground rent, the borrower should contact the ground lease holder; and 

(5) For information on including the amount of the redemption in this loan, the borrower should contact the lender or credit grantor making this loan. 
 

[2007, ch. 291.]