Zoe Mckey, Staff Writer
Montgomery County, Maryland, has enacted a new rent stabilization law, which limits the maximum allowable rent increase to 6% or the rate of inflation plus 3%, whichever is lower. This law, Bill 15-23, was approved a year ago, and its implementation regulations were adopted by the County Council on Tuesday. Newly-constructed rental units are exempt from this cap for 23 years to encourage the development of 31,000 housing units by 2030. The law aims to protect renters from significant rent hikes while balancing the interests of landlords and the need for more housing.
The law also includes provisions for buildings with code violations, requiring county approval for any rent increases necessary to cover repair costs. Landlords can apply for a “fair return” increase if they can prove the necessity for profitability or to fund substantial renovations. Council members emphasized the importance of stable housing for the well-being of the community, with Natali Fani-Gonzalez and Will Jawando highlighting the law’s role in protecting vulnerable renters and ensuring long-term prosperity.
