The Montgomery County Council unanimously passed new rent stabilization regulations this week, immediately setting limits on rent increases.
Montgomery County’s Bill 15-23, Rent Stabilization (PDF), was passed in 2023 and caps rent increases for eligible buildings at six percent or the inflation rate plus three percent, whichever is lower. Executive Regulation 2-24, Landlord-Tenant Relations—Rent Stabilization, was established under an executive order by County Executive Marc Elrich (PDF) and provides specific guidance on the requirements of the rent stabilization law to help landlords and tenants understand their legal obligations in Montgomery County, according to a county press release.
MoCo360 reported Wednesday that while the law was approved last year, the new rules under the executive order were necessary for its enforcement.
“As the Councilmember representing the district with the highest number of multi-family apartment buildings, I appreciate the thoughtful work of the Department of Housing and Community Affairs in writing these regulations and look forward to the implementation of which many residents in our community have been waiting,” Council Vice President Kate Stewart said in a press release. “We face an unprecedented housing crisis in terms of the availability and affordability in the County, and as we address the crisis, our goals of ensuring stable, safe, and affordable homes must be at the forefront. Today, we take a huge leap forward in achieving our goals.”
The new regulations were approved a week after the Council enacted new tenant safety rules in response to a fatal February 2023 fire at the Arrive Silver Spring apartment complex in downtown Silver Spring.
“I hear from residents every week facing unaffordable and unreasonable rent increases, including one facing a 20 percent increase on August 1st,” said Councilmember Kristin Mink. “As these urgently needed protections go into effect, I’m grateful to the many community members who advocated tirelessly throughout the drafting and amendment process for the passage of strong legislation.”
According to MoCo360, Elrich’s order aims to address and refine regulations related to various aspects of the rent stabilization law, including:
- Rent increases for multi-year leases;
- Troubled or at-risk properties;
- Previously vacant properties;
- Limited surcharges for capital improvements;
- Fair return rent increases;
- Exemptions for substantial renovations; and
- The regulation of rental fees.
Additionally, the legislation provides a 23-year exemption for newly constructed units.
“Housing costs continue to skyrocket in Montgomery County and across the region. Rent stabilization is one tool to address housing affordability in our community,” said Councilmember Evan Glass. “The approval of these regulations balances our need to protect renters today while continuing to build housing for tomorrow.”
Matt Losak, executive director of downtown Silver Spring-based renter advocacy group Montgomery County Renters Alliance, told MoCo360 that while the new regulations didn’t contain everything the nonprofit organization wanted, he generally sees this as a massive victory for renters.
“The best part of it is that we are not going to see anybody gouge rents over 6%. That’s the most important thing,” Losak said. “That’s progress, and it’s also a recognition by the council that the culture is changing.”
Photo: “View from Downtown Silver Spring 02” by Bohemian Baltimore is licensed under CC BY-SA 4.0. Montgomery County Graphic