State law guide · Checked November 14, 2026

Maryland landlord rules: late fees, deposits and rent increases

Maryland caps late fees as a share of the unpaid rent and limits the security deposit to one month's rent. It also sets a notice period for rent increases. Here is what the Real Property Article says, with the section for each rule.

Late fees in Maryland

Limit

5% of the unpaid rent for the rental period. Where rent is due weekly, the limit is $3 per week or $12 per month. Md. Code, Real Prop. § 8-208(d)(3)

Grace period

None in the statute. Md. Code, Real Prop. § 8-208

Other conditions

A lease term that goes over the cap is unenforceable. The tenant can recover actual damages and attorney's fees. Md. Code, Real Prop. § 8-208(g)

Security deposits in Maryland

Maximum deposit

One month's rent per dwelling unit, regardless of the number of tenants. Up to two months' rent if the tenant qualifies for utility assistance from the state Department of Human Services, pays utilities directly to the landlord, and both agree in writing. Md. Code, Real Prop. § 8-203(b)(1)-(2)

Return deadline

45 days after the end of the tenancy. Md. Code, Real Prop. § 8-203(e)(1)

Itemized deductions

Required, in writing, by mail within the same 45 days. Send a written list of the damages claimed with an itemized statement of the cost. Supporting documentation is required. A landlord who misses the deadline forfeits the right to withhold any part of the deposit for damages. Md. Code, Real Prop. § 8-203(g)(1)-(2), (j)

Interest

Simple interest at the daily U.S. Treasury yield curve rate for 1 year or 1.5% a year, whichever is greater. Interest is payable on deposits of $50 or more, not for part-months, and not unless the deposit is held at least six months. Md. Code, Real Prop. § 8-203(e)(1)-(3)

How it's held

In an interest-bearing account devoted exclusively to security deposits, at a federally insured financial institution doing business in Maryland. The deposit goes into the account within 30 days. Insured certificates of deposit and federal or Maryland securities are also allowed. The statute doesn't require the landlord to post a bond. Md. Code, Real Prop. § 8-203(d)(1)-(2), (i)(1)

Penalty

Up to three times the amount withheld, plus reasonable attorney's fees, if the deposit is kept without a reasonable basis. Charging a deposit above the cap exposes the landlord to up to three times the excess, plus fees. Md. Code, Real Prop. § 8-203(e)(4), (b)(3)

Rent increases in Maryland

Notice to raise rent

60 days' written notice for a tenancy with a term of more than 1 week up to 1 month. 90 days for a term of more than 1 month. For a term of 1 week or less, 7 days with a written lease or 21 days without one. Send the notice by mail with a certificate of mailing, or electronically if the tenant elects it. Md. Code, Real Prop. § 8-209(b)

Statewide cap

None in the statute. The statute does bar an arbitrary rent increase as retaliation for protected acts. Md. Code, Real Prop. § 8-208.1(a)(1)(ii)

City rent control

No state ban found in the landlord-tenant sections. The notice section leaves in place any local law that requires additional notice or provides additional tenant protections. Md. Code, Real Prop. § 8-209(c)

This page covers Maryland state law for ordinary residential rentals. Cities and counties can add their own rules, and subsidized housing and mobile home lots follow different ones. Maryland's statute leaves local laws in place that add notice rules or tenant protections. Check your county and city rules as well.

Questions landlords ask

Free templates you can use in Maryland

These are plain templates that aren’t tied to one state. Fill in the numbers your statute and lease call for.

• Rent increase letter kit: increase notice, renewal offer, pricing worksheet and delivery log.
• Late rent notice kit: friendly reminder, past-due notice, payment plan and delivery log.
• Security deposit return kit: itemized return letter, wear-and-tear guide and move-out checklist.
• Move-in kit: inspection checklist and deposit receipt, signed by the tenant.
• Rent ledger: running tenant balances and printable statements.

This guide is general information, not legal advice. It summarizes state statutes as read on November 14, 2026; laws change and courts interpret them. Check the current statute (Maryland Code, Real Property, title 8, subtitle 2) or talk to a local attorney before you act.