Maryland Proposes Rent Control.

Maryland Proposes Rent Control.

Ned CareyPro Member
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Investor · Baltimore, MD · Member since 2008 · 17k+ posts · 13k+ votes

The Maryland house of representatives has proposed house bill 315 that limits rent increases to 5% and limits your rights to remove a tenant to 11 "Just Cause" reasons. The fact your tenant is jerk is not considered a "just cause" to choose not to renew the lease. Removal of a tenant for breach of lease must now meet the subjective standard of "Substantial"

Here is the bill http://mgaleg.maryland.gov/2013RS/bills/hb/hb0315F.pdf?utm_source=Copy+of+2%2F13%2F13--House+Bill+315&utm_campaign=HB315-Feb.&utm_medium=email

A hearing on this bill is scheduled for Thursday 2/28/13 at 1:00. I will update the location on my site below.

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Developer · Garland, TX · Member since 2008 · 8k+ posts · 4k+ votes
13y

Move to Texas, Ned.

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  • Developer · Garland, TX · Member since 2008 · 8k+ posts · 4k+ votes
    13y

    Move to Texas, Ned.

  • Investor / Developer / GC · Manassas, VA · Member since 2013 · 229 posts · 39 votes
    13y

    Were in Northern Virginia and I think long and hard before doing business in MD. It's not only the state regulations but, also local policies that make developing, building or investing very "difficult" at times. Whether were talking commercial or residential I'll pursue the project in Virginia over Maryland 99% of the time. Just my choice and opinion..

  • Contractor · Charlottesville, VA · Member since 2010 · 99 posts · 63 votes
    13y

    Apparently the majority of MD's House did NOT make their money in real estate...

  • Investor · North Wales, PA · Member since 2013 · 116 posts · 44 votes
    13y

    Interesting read. One thing that I noticed is that although the amount of increase is clearly stated at no more than 5%, they completely neglected to mention how often that one may raise the rent this 5%.

    Given the tone of this though, there's a good chance that a judge would find 5% increases in rapid succession to be problematic. But offering a series of month-to-month or 6-month leases would seemingly allow for a landlord to raise the rent in a stepwise fashion... at least according to the letter of this law.

  • Ned CareyPro Member
    Moderator
    OP
    Investor · Baltimore, MD · Member since 2008 · 17k+ posts · 13k+ votes
    13y

    Jon Klaus I laughed out loud at that one. You'd think liberal areas like Baltimore City or California which are both going broke would figure out Texas policies seem to work better.

    Nucon Va Despite the problems, I am getting great ROI in Baltimore.

    Sam Parkins LOL

    Fran Flanagan Shhh, don't let them know we found a loophole. That is a perfect example of unintended consequences. This could very well lead to faster and more frequent increases.

  • Simi Valley, CA · Member since 2013 · 15 posts · 0 votes
    13y

    This would be bad news for me. I've got 3 properties under contract (short sale) in PG county. Let's see what happens. Thanks for letting the forum know - Being out of state, I had not idea...

  • Ned CareyPro Member
    Moderator
    OP
    Investor · Baltimore, MD · Member since 2008 · 17k+ posts · 13k+ votes
    13y

    Sunil Sehra fortunately I don't think it will pass but any proposal such as this needs to be taken seriously.

  • Concord, MA · Member since 2013 · 1 post · 0 votes
    13y

    Did they take a vote on rent control? Trust me we know up here in Mass. it was a nightmare!
    Dawna Carrette

  • Lender · Woodland Hills, CA · Member since 2013 · 362 posts · 115 votes
    13y

    Brother Ned Carey we have rent control out here in Santa Monica, CA and as far as investors are concerned. All properties in rent controlled areas are radioactive.

    Do you all have a lobby out there? Ned, you da man. . . you should become the chief lobbyist. . .

    I see a political future for you, sir!

    Tevis

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