Baltimore attracts buyers nationwide with its blend of urban energy and historic charm. With over 5,000 homes for sale in Baltimore, you have plenty of options. But you must get preapproved, check neighborhoods, and attend open houses.
With Houzeo, Baltimore’s best home buying website, managing your home search is simple. You can look through the latest listings in Baltimore, save your favorites, schedule showings, and submit offers, all at your fingertips.
👉 Download the Houzeo mobile app to simplify your Baltimore home search.
At a Glance:
- Determine whether you’re purchasing a primary home, a vacation getaway, or a rental property, and choose Baltimore neighborhoods that match your goals.
- Set aside 30–45 days for mortgage pre-approval. Aim for a credit score of 620+ to stay competitive in Baltimore’s fast-moving market.
- Explore FHA, VA, or USDA loans, and apply for programs like Maryland Mortgage Program (MMP) or Baltimore City’s Live Near Your Work incentive.
- Use platforms like Houzeo to filter homes by city, price, or must-have features like pools, parking, or proximity to transit.
- Schedule inspections for the roof, HVAC, and plumbing. If you’re buying near the waterfront, consider flood risk assessments as well.
- Expect 2%–5% in closing costs. After purchase, file for Maryland’s Homestead Tax Credit to reduce your property taxes.
7 Steps to Buy a Home in Baltimore 🌊
Buying a home in Baltimore doesn’t have to be complicated. Whether you’re just starting your search or are already browsing homes in Hampden, these 7 simple steps will help you move forward with confidence:
Step 1: Decide Your Homebuying Purpose
Whether you’re looking for a getaway or seeking an investment, knowing why you’re buying real estate in Baltimore is essential. It sets your expectations and helps you make smarter choices. Here’s what you should keep in mind:
- Primary Residence vs. Investment: If you want to buy a home, choose places that fit your lifestyle, whether it’s Greektown for city living or Lauraville for a suburban feel. For investment purposes, homes in Highlandtown have strong rental demand.
- Short-Term or Long-Term: If you plan to live in the house for only a few years, focus on neighborhoods like Barclay, which have strong resale value and market growth. Pigtown is another smart choice, with increasing demand and ongoing development.”
- Space Requirements: If you’re looking for larger lots or big backyards, consider suburban areas like Overlea. But if you prefer something easier to manage, condos in downtown Baltimore can be a smart option. However, they often have smaller lots.
Calculate the cost of living in Baltimore to get a detailed breakdown of expenses like housing, utilities, transportation, and more. 🏡
Step 2: Explore Financing Options
Before making a purchase, it’s important to understand the financing options available for you to make an informed decision. Here’s what you need to do:
1. Prepare Financially
- Check Your Credit Score: Lenders will check your credit score to determine if you’re eligible for a loan. Aim for a score of 500+ for an FHA loan and 620+ for a conventional loan.
- Calculate Your Debt-to-Income (DTI) Ratio: Lenders often use your DTI ratio to assess how much home you can afford. Keep your DTI below 36%, especially if you want a home in an expensive region like Canton or Harbor East.
- Set Your Budget: Account for property taxes, homeowners’ insurance, and potential flood insurance, particularly in Baltimore‘s coastal areas like Fells Point or Locust Point.
👉 Use a Maryland mortgage calculator to estimate how much property you can afford in the Free State.
2. Explore Loans and Assistance Programs
Down payments in Baltimore usually range between 10% and 20%, but often vary based on the financing option you choose. You can also look for suitable Down Payment Assistance Programs (DPAs) to help you cover part or all of your down payment.
| Program | Description |
| FHA Loans | Require just 3.5% down and are ideal for first time home buyers. |
| VA & USDA Loans | Offer 0% down with lower interest rates. Perfect for veterans or those purchasing homes in rural areas. |
| Maryland Mortgage Program (MMP) | Provides assistance for down payments and closing costs, with low-interest options for eligible buyers. |
| Live Near Your Work (Baltimore City Program | Offers financial support to first-time buyers who purchase a home near their place of employment in the city. |
| Opportunity Advantage Loan Fund | Supports underserved communities in Maryland, and helps residents access affordable housing. |
Step 3: Get Pre-Approved for a Mortgage
The Maryland housing market is competitive, so get a mortgage pre-approval to show sellers you’re a serious buyer. In fact, 86% of sellers prefer buyers who are pre-approved. It also helps you negotiate better and reduces delays in the transaction.
Shop around to find the best mortgage lenders in the city—compare their programs, rates and terms. Once you’ve narrowed down your options, get pre-approved by submitting documents like proof of income, credit history, bank statements, and your ID proof.
Step 4: Dive Into the Baltimore Market
Whether you’re looking at houses for sale in Towson or anywhere else in Baltimore, here’s how to buy smart:
- Online Listings: If you’re wondering how to buy a house, starting with online listings is a good first step. Use platforms like Houzeo to search homes for sale by price, zip code, and more. You can also filter for must-haves like a backyard, waterfront view, etc.
- FSBO (For Sale By Owner) Homes: Explore FSBO listings, as they often offer more flexibility in price negotiations. This is because sellers aren’t paying 5% to 6% in agent fees.
Cumberland is the nicest and cheapest place to live in Maryland. The number of homes for sale in Cumberland is on the rise, thanks to its safe neighborhoods and job opportunities.
Step 5: Make a Competitive Offer
Homes tend to sell fast in the Baltimore housing market. Make sure you focus on real estate comps for a more accurate picture. Here’s a checklist to help you craft a strong offer:
- Seller’s Name and Address: Don’t forget the basics—include the seller’s legal name and property address.
- Price and Terms: Offer a price based on Fair Market Value (FMV) and comparable sales. In high-demand areas like Federal Hill or Harbor East, you might need to offer above the asking price to stand out.
- Down Payment: In Baltimore, down payments usually range from 3% to 20%. In competitive markets, a larger down payment can strengthen your offer.
- Earnest Money: Boost your earnest money deposit to show you’re serious, especially in hotspot like Station North, where homes can go fast.
- Contingencies: Include protections like home inspection, financing, and wind mitigation.
- Concessions: Request the seller to cover some closing costs. It’s common to negotiate repairs after the inspection, such as roof issues, HVAC problems, or plumbing leaks.
- Deadline for Seller’s Response: Set a 24- to 72-hour deadline to encourage a prompt reply. This helps prevent delays and keeps you on track for Maryland’s average 44-day closing timeline.
- Closing Costs: Expect closing costs around 2% to 5% of the home’s price, including title insurance, property taxes, and lender fees.
Step 6: Conduct Inspections and Appraisals
A standard home inspection in Maryland should cover:
- HVAC System: Make sure the property’s heating and air conditioning can handle Baltimore’s humid summers and chilly winters.
- Plumbing: Check for leaks, corrosion, and water pressure issues, especially in homes built before the 1980s. Older rowhouses and historic homes are more prone to plumbing problems due to age and city infrastructure.
- Electrical System: Verify that all wiring is up to code and can handle modern electrical loads. Storms can cause power surges and outages, so a solid electrical system is key.
- Roof Condition: Assess for storm damage, missing shingles, or age-related wear.
- Foundation and Structure: Look for cracks, moisture, or settlement issues, particularly in flood-prone areas of the city.
If you’re browsing homes for sale in Baltimore or elsewhere, ensure that you get a wind mitigation inspection for any damages or risk. Also, if you have a condo over 30 years old and higher than two stories, make sure you get a Milestone Inspection for structural safety.
Once the inspection is complete, your lender will order a home appraisal to confirm the property’s market value. This step ensures the loan amount aligns with what the home is actually worth. It can impact final loan approval, especially if the appraisal comes in low.
Step 7: Close on Your Baltimore Home
Almost there! Closing usually takes 30–45 days, from signing the contract to getting the keys in your hand. Here’s what you can expect:
- Final Walkthrough: Make sure all repairs have been completed, and the home is in the agreed-upon condition.
- Buyer Closing Costs: Expect to pay 2%–5% of the home price. This includes title fees and lender charges, plus prepaid taxes or insurance.
Once you sign the dotted line and transfer the escrow—congratulations, you’re officially a homeowner. Grab those keys and cue your happy dance! 🎉
What Should You Do After Closing?
Welcome home! Now it’s time to handle a few must-dos to protect your investment:
- File for Homestead Exemption: If the home is your primary residence, apply for Baltimore’s Homestead Exemption to reduce your property taxes.
- Set Up Utilities: Get water, electric, internet, and trash service connected through Baltimore City’s utility providers. Also, don’t forget pest control, especially in humid areas, where bugs are active year-round.
- Get Insurance: Homeowners insurance is required if you’re financing, and flood insurance may be needed in FEMA-designated zones. Rates are higher in coastal areas like Inner Harbor, Jones Falls, or other flood-prone areas.
- Home Maintenance Plan: Schedule AC tune-ups at least twice a year, clear gutters regularly, and inspect roofs for storm damage or algae build-up. Consider wind mitigation upgrades to reduce insurance costs.
How to Buy a House in Baltimore Without a Realtor?
Start by researching neighborhoods and browsing listings on trusted sites like Houzeo. Then, schedule showings directly with sellers or their agents. You can also hire a real estate attorney to review contracts and handle legal details.
Next, get pre-approved for a mortgage, make an offer, schedule inspections, and negotiate repairs. With the necessary due diligence, you can buy a house without a Realtor.
Should You Buy a House in Baltimore?
Absolutely! Baltimore offers incredible opportunities for homeowners, whether you’re buying for investment, residence, or vacation. Moreover, with more homes being sold below the list price, now’s the best time to buy a house in Maryland.
Whether you’re drawn to the vibrant energy of the Inner Harbor or Baltimore’s historic neighborhoods, the city has something for every lifestyle and budget. So if you’re on the hunt, check out our list of the best places to live in Maryland!
