Montgomery County, MD Rental Property Rules: Rent Control (2026)
Rent control rules in Montgomery County, MD, also known as rent stabilization or rent cap ordinances, limit annual rent increases and protect tenants from displacement.
Key Facts
- Annual cap
- CPI-U + 3%, or 6%
- Increase ceiling
- Max 10% of base rent
- Enforced by
- Dept. of Housing & Community Affairs
- Small-landlord exemption
- Owning 2 or fewer County units
- Enacted
- 2023 L.M.C., ch. 22
Summary
Montgomery County caps annual rent increases on regulated units at CPI-U plus 3 percent or 6 percent, whichever is lower, set each July 1 by the Department of Housing and Community Affairs.
Annual rent increase allowance. The Director annually must calculate a rent increase allowance for regulated rental units equal to the lesser of: (1) CPI-U plus 3 percent; or (2) 6 percent.
Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: 2026 S-90: Montgomery County Code contains legislation effective through May 7, 2026 | Zoning Updated Effective: April 13, 2026 | COMCOR Regulations effective as of July 1, 2026).
Full Breakdown
Under County Code §§ 29-57 and 29-58, the Director of Housing and Community Affairs sets an annual rent increase allowance every July 1 equal to the lesser of CPI-U plus 3 percent or 6 percent. On a lease renewal or new lease, a landlord cannot raise rent above the base rent plus that allowance plus any banked unused increase, capped at 10 percent of base rent total. Landlords may petition for capital-improvement surcharges or a fair-return increase under § 29-59. Newly built units under 23 years old, owner-occupied duplexes, ADUs, and small landlords owning 2 or fewer County rentals are exempt under § 29-60.
Violations & Fines
Rent charged above the capped allowance is unenforceable; DHCA investigates tenant complaints and can order landlords to refund the overcharge under the Department's rent stabilization enforcement process.
Frequently Asked Questions
Does Montgomery County have rent control?
Which rentals are exempt from the cap?
Can a landlord charge more than the cap?
Sources & Official References
Other rules in Montgomery County
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