Buying a home in Massachusetts: 7 rules that surprise people

If you are moving here from another state, the way a home sale works in Massachusetts can feel a little backward. None of it is complicated once you know it is coming. Here are the seven rules I explain most often, in the order you will run into them.

1. You sign a buyer agreement before touring

Since August 2024, a written agreement is required before an agent tours homes with you. It spells out what your agent does for you and how they are paid, and the fee is negotiable. Read it before you sign it, and ask about anything that is unclear.

2. Your agent hands you a state disclosure form first

At your first real conversation about a specific home, any Massachusetts agent has to give you a state form explaining who they represent. It is not a contract. It simply tells you whose side the agent is on.

3. There are two contracts, and both are binding

You sign an Offer to Purchase first. Once both sides sign it, it locks in the price and the key dates. A couple of weeks later you sign the Purchase and Sale Agreement, which carries the full terms. Your deposit is usually split across the two, often adding up to about 5 percent of the price, and it is held in escrow until closing.

4. Attorneys run the closing

Massachusetts closings are handled by attorneys. The lender’s attorney usually runs the closing itself, and many buyers hire their own attorney to review the Purchase and Sale Agreement. If you are paying cash, you will want your own attorney either way.

5. A septic system means a Title 5 inspection

If the home has a septic system, the seller generally needs a passing state Title 5 inspection done within 2 years before the sale, or 3 years if the system has been pumped every year. A failed system has to be repaired or upgraded, which is a real cost, so ask about the inspection report early.

6. Older homes come with a lead paint notice

For homes built before 1978, you get a state lead paint notice and at least 10 days to get a lead inspection if you want one. If a child under 6 will live in the home, the new owner must delead it or bring it under interim control within 90 days of taking title. The state offers a tax credit of up to $1,500 per unit deleaded.

7. File a homestead declaration after you close

Massachusetts automatically protects $125,000 of equity in your primary home from certain creditors. Filing a declaration of homestead with the registry of deeds raises that to $500,000 for a $35 fee. Many buyers file right after closing; your attorney can help.

What to do with all this

None of these rules should slow you down if you plan for them. Before you make an offer here, have your pre-approval in hand, an attorney lined up, and a sense of whether the home has septic or was built before 1978. If you are looking anywhere in the Greater Newburyport Area, I am happy to walk you through each step. Read the full FAQ or send me a question.