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HB0705 would add a new section to Maryland’s Real Property law limiting local regulation of short-term rentals. Specifically, it would prohibit a county or municipality from adopting a law or ordinance that bars a property from being offered as a short-term rental solely because the operator is a lessee or sublessee rather than the owner. The bill defines “operator” broadly to include owners, lessees, sublessees, mortgagees in possession, licensees, and other possessory interests, and defines “short-term rental” as a residential dwelling unit or part of a unit used for housing for fewer than 31 consecutive days.
The bill also preserves private property rights by stating that nothing in the new section prevents a property owner from restricting or prohibiting a lessee or sublessee from using the property as a short-term rental. In effect, the measure would preempt local governments from imposing a categorical ban based only on tenancy status, while leaving owners free to set their own rental-use rules through lease terms or other private arrangements. The bill would take effect October 1, 2025.
The likely impact is on county and municipal zoning or rental ordinances that currently distinguish between owner-operators and tenant-operators of short-term rentals. If enacted, it would narrow local authority over short-term rental regulation and expand the ability of renters and subtenants to participate in the short-term rental market, subject to landlord approval and any other applicable state or local requirements not addressed by the bill. It would amend the Annotated Code of Maryland, Article - Real Property, by adding Section 14-126.1.
No committee transcripts or recorded votes were provided, so there is no direct evidence of debate or formal support/opposition in the materials supplied. Based on the bill text alone, the measure appears aimed at facilitating short-term rental access for lessees and sublessees while balancing that access against property owners’ control over their premises. The main point of contention is likely to be the tension between local governments’ authority to regulate short-term rentals and the bill’s restriction on local bans tied to operator status, as well as concerns from landlords or neighborhood advocates about enforcement, nuisance impacts, and housing availability.
HB0705 would preempt local laws and ordinances in Maryland that prohibit short-term rentals solely because the operator is a lessee or sublessee, thereby limiting county and municipal authority over this specific category of rental regulation. It would add Section 14-126.1 to the Real Property Article and define key terms related to short-term rentals and operators. The bill leaves intact a property owner’s ability to restrict or prohibit short-term rental use by a tenant or subtenant through private agreement or other owner-imposed limits.
No vote totals, committee testimony, or transcript excerpts were provided, so the recorded sentiment cannot be measured directly from the available materials. From the bill text, the proposal appears supportive of expanding short-term rental opportunities for renters and sublessees, while also preserving owner control. The overall tone is regulatory and targeted rather than expansive, suggesting an attempt to resolve a narrow access issue rather than overhaul short-term rental law broadly.
The central point of contention is likely local control versus statewide preemption: counties and municipalities may object to being barred from prohibiting short-term rentals based solely on the operator’s status as a lessee or sublessee. Property owners and landlord groups may support the bill’s preservation of owner authority, but could still raise concerns about liability, lease enforcement, and property impacts. On the other side, local governments and neighborhood stakeholders may worry that the bill constrains their ability to manage density, nuisance complaints, and housing stock through local short-term rental rules.