Home Builders - Model Homes and Contracts for the Intent to Purchase a New Home - Requirements
HB0093 would add new consumer-protection requirements for home builders who construct and market model homes in Maryland. It defines terms such as “model home,” “base model home,” “builder grade,” and “upgrade,” and requires builders to give prospective buyers detailed written information about the model home’s upgrades, pricing, square footage, and the credit value of any builder-grade items not included in the display home. Builders would also have to post a clearly visible sign near the model home entrance with similar pricing and upgrade information, and provide the same information in paper or electronic form upon request.
The bill also regulates contracts for the intent to purchase a new home. At the time of signing, the builder must provide a complete list of available upgrades and their costs. The bill allows builders to charge up to a $250 consultation fee for advisory services, but gives buyers a right to rescind the contract for any reason within five business days. If the buyer rescinds, the builder must refund all money paid in the purchase process except the consultation fee, including deposits for land, the home, and other advance payments. The bill takes effect October 1, 2026.
HB0093 would amend the Maryland Business Regulation Article, specifically the Maryland Home Builder Registration Act, by creating a new subtitle governing model homes and contracts for the intent to purchase a new home. It would expand the Division’s enforcement authority to cover violations of the new subtitle and authorize stronger penalties, including higher daily civil fines and possible registration suspension for repeat violations. The bill would directly affect home builders, prospective home buyers, and the administrative agency responsible for enforcing home builder registration requirements.
The available record suggests the bill was introduced as a consumer-disclosure and contract-rights measure for new-home buyers, with no recorded committee debate or votes in the provided materials. Because the bill was withdrawn by the sponsor in the House, there is no formal vote history to indicate support or opposition. The structure of the bill indicates a policy preference for greater transparency and buyer protections in the new-home sales process.
The main likely points of contention are the bill’s added compliance burdens on home builders and the buyer rescission right. Builders may object to mandatory signage, detailed disclosure of upgrade costs and builder-grade credits, and the administrative complexity of tracking and presenting pricing information for model homes. The five-business-day rescission right and refund requirements could also be viewed as increasing transaction uncertainty for builders, while consumer advocates would likely support these provisions as protections against misleading model-home marketing and high-pressure sales practices. No specific stakeholder testimony or recorded committee disagreements were provided.