The following definitions should be used for completing Section 2 - Conveyance
Type, on the State of Maryland Land Instrument Intake Sheet:
Code 1: Improved Sale Arms-Length: Check this box if the property conveyed
includes a building or other relatively permanent structure or development located
on, or attached to, land.
Code 2: Unimproved Sale Arms-Length: Check this box if the property conveyed
only consists of vacant land.
Code 3: Multiple Accounts Arms-Length: Check this box if the property conveyed
includes more than one account for the assessment records.
Code 9: Not an Arms-Length Sale: Check this box if the transfer of the
property was between related parties, or one or more of the parties were acting
under duress to buy or sell. Types of conveyances that are not considered an
arms-length transfer of real property include a gift, foreclosure, tax sale, or
confirmatory deed.
The primary purpose of this process is to distinguish arms-length conveyances
from transfers that have not had full exposure to the marketplace. An arms-length
sale is a transaction between unrelated parties under no duress.
NOTE: Any transfer which includes an improvement in the consideration but not
assessed ("picked up") as of that date should be coded as a "1".
NOTE: Changing a Conveyance Code at a later time, such as during analysis or
ratio review, requires documentation of the reason and Supervisor approval. Any
change of a conveyance code will set a flag automatically in the system.
NOTE: Any sale which is to be excluded from the mainframe ratio, should have
an "X" entered in the field "NR" of the transfer transaction screen. The reason
must be documented.
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