Don’t make the mistake of renting out an extra bedroom in your home without a Maryland room rental agreement. Landlords need a clear contract to avoid disputes and keep everyone on the same page, even if your tenant is a family member or a close friend.
Using a Maryland lease agreement for your room rental can help you comply with local real estate laws and stay organized. Combined with property management software, these tools create a smooth experience for landlords and tenants.
Here’s everything you need to know before renting out a room in the Old Line State.
Room Rental Laws
State and federal laws regulate room rental agreements in Maryland, including:
- Health and safety laws
- Disclosure requirements
- Advance notice policies
- Anti-landlord harassment rules
Before we review landlord-tenant laws in Maryland, here’s a quick look at contract types and disclosures.
Different Types of Room Rental Agreements in Maryland
You have a few options when creating a Maryland room rental agreement, such as:
- Verbal agreements: Word-of-mouth agreements can lead to conflicts, so we recommend creating a written lease agreement.
- Fixed-term leases: These written contracts offer stability by defining the tenancy’s start and end dates.
- Month-to-month leases: “Tenancy at will” agreements are the most flexible since they automatically renew each month, and you can end them at any time.
Think about the tenancy’s length, your relationship with the tenant, and whether you need stability or flexibility.
Required Landlord Disclosures
When creating your room rental agreement, Maryland law requires you to make the following six disclosures:
- Lead-based paint: If the property predates 1978, you must disclose any lead-based paint hazards (42 U.S.C. § 4852d).
- Landlord contact details: Give tenants the landlord or property manager’s name, address, and phone number (Md. Code, Real Prop. § 8-210).
- Habitability disclosure: Include a statement on habitability standards and safety, and any known property defects and repair responsibilities (Md. Code, Real Prop. § 8-212).
- Security deposit: Give tenants a written security deposit receipt that explains Maryland’s legal protocols for handling and returning the deposit and the landlord’s right to inspect the property (Md. Code, Real Prop. § 8-203, 8-203.1).
- Shared utilities: Outline how you split utility charges in the room rental agreement (Md. Code, Real Prop. § 8-212.4).
- 2024 Renter’s Rights and Stabilization Act: Provide a move-in/move-out checklist before collecting the tenant’s security deposit (Md. Code, Real Prop. § 8-210).
Follow these real estate laws to keep your Maryland room rental agreement compliant.
Security Deposit Rules
Maximum security deposit: Maryland law caps security deposits at 1 month’s rent. However, landlords may require up to 2 months’ rent under the following circumstances:
- The tenant qualifies for the state’s utility assistance program.
- Tenants pay utilities directly to the landlord.
- Both parties agree to the amount in writing (Md. Code, Real Prop. § 8-203).
Security deposit receipt: Give tenants a written receipt, including:
- The payment amount and date
- The landlord’s right to inspect the property (Md. Code, Real Prop. § 8-203, 8-203.1).
Deduction tracking: Give tenants a written list of charges within 45 days (Md. Code, Real Prop. § 8-203).
Security deposit return: Refund the remaining funds, plus accrued interest, within 45 days of move-out (Md. Code, Real Prop. § 8-203).
Pet deposits: Landlords can charge pet deposits as long as the total security deposit doesn’t exceed the state’s legal limits (Md. Code, Real Prop. § 8-203).
Rent Payment Rules
Late rent fees: State law caps late fees at 5% of the amount due (Md. Code, Real Prop. § 8-208).
Right to withhold rent: If landlords fail to maintain safe, livable housing, tenants can withhold rent by following Maryland’s legal procedure (Md. Code, Real Prop. § 8-211).
Grace period: Landlords don’t have to give tenants a grace period.
Pet rent: Landlords can collect a monthly pet rent if they clearly outline it in their lease (Md. Code, Real Prop. § 8-210).
Rent Payment Increase Rules
Rent payment increase frequency: Landlords can increase rent at the end of a lease, but they must notify tenants according to the following rules:
- 90 days’ written notice for leases longer than 1 month
- 60 days’ written notice for leases from 1 week to 1 month
- 7-21 days’ written notice for leases shorter than 1 week (Md. Code, Real Prop. § 8-209)
Rent payment increase maximum: Landlords can raise rent by any amount in Maryland.
Rent control/stabilization: Maryland law allows counties to limit rent increases. For example, Montgomery County caps rent increases at the lower of 6% or CPI plus 3% (Montgomery County, MD, Code § 29-57).
Room Rental Agreement Breaches
Failure to pay: Landlords can evict tenants after providing notice and giving them 10 days to pay (Md. Code, Real Prop. § 8-401, 8-406).
Lease violations: Landlords must give tenants 14 days’ written notice to evict if the violation poses an imminent danger. For general violations, landlords must give 30 days’ written notice before they file for eviction (Md. Code, Real Prop. § 8-402)
Self-help evictions: Maryland law prohibits self-help evictions. Landlords can’t change the locks or shut off essential utilities to force tenants out (Md. Code, Real Prop. § 8-216).
Terminating a Room Rental Agreement
Month-to-month: Give 60 days’ written notice (Md. Code, Real Prop. § 8-402).
Fixed-term: If a landlord ends a fixed-term room rental agreement in Maryland early without legal justification, they could face penalties.
Room abandonment: Landlords must file an eviction action with the court.
Tenant’s right to terminate: Domestic violence and sexual assault victims can end their lease early without penalty (Md. Code, Real Prop. § 8-5A-02).
Landlord Access Laws
Immediate access: Landlords can enter a tenant’s room without notifying them first only if they need to handle an emergency, such as a fire or leak.
Landlord harassment: Landlords can’t harass tenants by showing up unannounced or entering their room without permission.
Advance notice: Give tenants at least 24 hours’ written notice (Md. Code, Real Prop. § 8-221).
Lease Agreement Renewal and Termination
Required renewals: Maryland law doesn’t require landlords to continue a room rental agreement once it expires. They can sign a new lease or agree to an extension if they’d like to renew the arrangement.
Required notice: Give 60 days’ written notice to end a month-to-month lease (Md. Code, Real Prop. § 8-402).
Month-to-month considerations: If tenants remain in the room after their fixed-term lease ends without signing a new contract, the law automatically converts their tenancy to a month-to-month lease (Md. Code, Real Prop. § 8-402).
Use this guide to create a clear, compliant room rental agreement in Maryland. If you’re interested in digital automation tools and mobile access, try using landlord software to streamline everything from rent collection to maintenance requests.
Room Rental Agreement Maryland FAQs
What to include in a Maryland room rental agreement?
- Rent and security deposits
- Disclosures
- House rules
- Responsibilities for both landlords and tenants
How do I legally rent out a room?
Use a Maryland room rental agreement form and property management software to streamline the process.
How to make a Maryland room rental agreement?
Download iPropertyManagement’s printable PDF template at the top of this guide.