Montgomery votes to ditch plan to increase closing costs

Advocates for affordable housing in Montgomery County won minor victories Tuesday in the ongoing tug of war between the jurisdiction’s need for reasonably priced homes and efforts to control growth.

Montgomery County Council members agreed to ditch a plan to increase closing costs for all people buying and selling homes in the county in favor of a proposal that would increase the recordation tax only on homes that cost more than $500,000. The recordation tax is paid by buyers and sellers when they close a real estate deal and has historically been one of the largest generators of revenue in the county.