District of Columbia Real Estate Law
Regulator: DC Real Estate Commission
Agency Relationships
- Agents may represent the buyer, the seller, or, with written consent, both parties.
- Fiduciary duties — loyalty, confidentiality, full disclosure — apply to clients but not to customers.
- Ask every agent to explain, in writing, who they represent before you share personal or financial details.
Property Disclosures
- Sellers must disclose known material defects that affect the property's value or safety.
- Federal law requires a lead-based paint disclosure for homes built before 1978.
- Always review disclosures before removing inspection contingencies.
Contract Nuances
- Real estate contracts must be in writing to be enforceable.
- Review deadlines for inspection, financing, and closing carefully — missed dates can cost your earnest money.
- You may hire an independent attorney to review any contract, even if the state does not require one.
Closing & Costs
- Closings are typically handled by title companies. Attorneys are not required but are common.
- DC has both a recordation tax (paid by buyer) and a transfer tax (paid by seller). Combined rates are among the highest in the country.
- First-time DC homebuyers may qualify for a reduced recordation tax rate.
- Property taxes are billed semi-annually and prorated at closing.
- Confirm wire instructions by phone using a number you trust — wire fraud is the leading source of consumer loss in DC closings.
Buyer-Agent Compensation (post-2024)
- Since August 17, 2024, multiple-listing services (MLS) can no longer publish offers of buyer-agent compensation. Sellers may still choose to pay a buyer's agent, but it is now negotiated separately and disclosed off-MLS.
- Buyers must sign a written representation agreement with their agent before touring a home. The agreement must state how the agent is paid and how much. Read it carefully — the fee is between you and your agent now, not automatically covered by the seller.
- If you are buying, ask whether the seller is offering to pay your agent's commission, who else might pay it, and exactly what services are included.
- If you are selling, you are no longer required to offer a buyer's agent commission. Your listing agent should explain the trade-offs of doing so anyway.
Tenant & Landlord Rights
- DC has one of the strongest rent control frameworks in the country, limited to buildings built before 1976 of five or more units.
- Annual rent increases for covered units are capped at CPI plus a small percentage.
- Tenants have a statutory right of first refusal (TOPA) if the landlord decides to sell the building.
- Evictions require a court order; self-help lockouts are illegal.
Educational information only. Not legal advice. Laws change; verify with the official sources above or consult a licensed attorney.