Housing

HB 1506 limits fees that new condominium or homeowners association (HOA) owners must pay at closing. It prohibits associations from charging new unit owners (not initial buyers) more than the current monthly assessment paid by existing owners at closing. Similarly, new lot owners in HOAs cannot be charged more than the existing lot owner's current monthly assessment. This bill directly affects new buyers in these communities by capping their initial capital contribution fees. The law takes effect October 1, 2026.

HB 1098 expands bankruptcy exemptions for Maryland residents by including residential property held in a revocable trust as eligible for protection. It increases the exemption cap for individuals aged 60+ with disabilities or veteran status to $300,000 (adjusted annually for inflation), while maintaining a $150,000 cap for other filers. The law automatically adjusts these amounts each year based on the Consumer Price Index, rounded to the nearest $25. This directly affects Maryland bankruptcy debtors owning homes - either directly or through revocable trusts - who qualify under the new or adjusted exemption thresholds.

HB 691 requires Maryland state agencies that issue housing construction permits to create streamlined permitting processes. Key provisions include allowing multiple permits to be handled simultaneously where possible, establishing predictable sequencing for approvals, and creating clear pathways for faster reviews. The State Housing Ombudsman must ensure consistency across different agencies’ processes and facilitate coordination with local governments. This bill directly affects state agencies, local governments (through potential delegation of permit tasks), and developers seeking housing construction permits, with implementation required by October 2026 and a reporting deadline for the Ombudsman in December 2027.

HB 543 allows landlords to charge up to two months' rent as a security deposit if a tenant operates a family child care home (defined as caring for up to eight children in a residence). It prohibits landlords from unreasonably restricting or banning such homes on single-family rental properties and shields landlords from civil liability related to the child care operation. Tenants must provide written notice 60 days before starting, share their child care registration, and supply insurance naming the landlord and property owners as additional insureds. The bill also requires tenants to notify landlords immediately if they stop operating the home and permits landlords to mandate $1 million liability insurance coverage.