MARYLAND HOA & CONDO LAWS
2026–2027 LEGISLATIVE UPDATE

 

This article discusses new legislation affecting Maryland HOA and Condo Laws. Enacted in 2026, the legislation amends the Maryland Condominium Act (“MD Condo Act”) and the Maryland Homeowners Associations Act (“MD HOA Act”), with various effective dates in both 2026 and 2027. Below is an overview of the new legislation followed by a detailed analysis.

 

BRIEF OVERVIEW OF NEW LEGISLATION

 

1. Strengthens the ability of HOA and condo boards to authorize EV charging projects (HB 405)
2. Extends the minimum time allowed for display of candidate/proposition signs from 30 to 45 days prior to voting in HOA, Condo and Co-op communities (HB  855 and SB 758)
3. Increases financial responsibility of condo unit owners, up to $25,000, for property damage originating in their units (SB 747)
4. Imposes mandatory insurance coverage requirements for condo unit owners (SB 747)
5. Imposes mandatory training for Charles County Condo and HOA board members and officers (SB 573)
6. Non-substantive, technical corrections to Maryland Condo and HOA Acts (SB 844)

 

“SB” and “HB” refer to Senate Bill and House Bill, respectively.

 

STREAMLINING EV CHARGING STATION APPROVAL PROCESS

 

Maryland House Bill 405 (enacted as Chapter 753) makes it easier for condominium and homeowners association boards to install, or authorize installation of, electric vehicle (“EV”) charging equipment in common parking areas by creating new MD Condo Act § 11-111.6 and MD HOA Act § 11B-111.13, effective October 1, 2026.

 

Condo and HOA governing documents may not “prohibit or unreasonably restrict” a board from installing or authorizing EV charging equipment in common use or limited common use parking spaces. MD Condo Act § 11-111.6(b) and MD HOA Act § 11B-111.13(b). Moreover, when considering an EV charging installation project:

 

• Boards must treat the project like any other renovation of “similar cost or magnitude” for purposes of the budgeting process.  MD Condo Act § 11-111.6(c) and MD HOA Act §11B-111.13(c); and

 

• Boards must consider whether sufficient parking will remain available for “the needs of the community” before approving installation. MD Condo Act § 11-111.6(d) and MD HOA Act § 11B-111.13(d).

 

The legislation also authorizes a board to grant a renewable license of up to 3 years on any common elements or areas as necessary for the installation of EV charging equipment or supply of electrical service to it. MD Condo Act § 11-111.6(e) and MD HOA Act § 11B-111.13(e).

 

As electric vehicles become increasingly common, Maryland’s new law provides condominium and HOA boards with clearer statutory authority to add EV charging infrastructure while balancing community budgeting and parking needs.

 

Editor’s Note – The amendment to MD HOA Act § 11B-111.13(d) contains a typo: the words “common element” should be “common area.”

 

MINIMUM TIME LIMIT FOR DISPLAY OF CANDIDATE AND PROPOSITION SIGNS EXTENDED TO 45 DAYS PRIOR TO VOTING

 

Senate Bill 758 (enacted as Chapter 288) and House Bill 855 (enacted as Chapter 289) extends the minimum period during which condominium associations, HOAs and housing cooperative corporations (“Co-ops”) must permit owners to display candidate and proposition signs. Effective April 28, 2026, the legislation amends MD Condo Act § 11-111.2, MD HOA Act § 11B-111.2, and Maryland Cooperative Housing Corporation Act (“MD Co-Op Act”) § 5-6B-23.

 

By way of background, associations, by their governing documents or rules, may restrict display of candidate signs or signs supporting or opposing a ballot proposition:

 

• in the common elements or common areas,

 

• as necessary to comply with federal, state, or local law; and

 

• as to the length of time signage can be displayed.

 

MD Condo Act § 11-111.2(b), (c)(1)-(2), MD HOA Act § 11B-111.2(b), (c)(1)-(2), and MD Co-Op Act § 5-6B-23.

 

The new legislation extends the minimum length of time associations must allow signs to be displayed from 30 days to 45 days before the start of early voting for a primary election, general election, or vote on a ballot proposition. MD Condo Act § 11-111.2(c)(3)(i)1, MD HOA Act § 11B-111.2 (c)(3)(i)1, and MD Co-Op Act § 5-6B-23(c)(3)(i)1. Additionally, if early voting is not available, associations must permit signs beginning 45 days before the election or vote. MD Condo Act § 11-111.2(c)(3)(i)2, MD HOA Act § 11B-111.2 (c)(3)(i)2, and MD Co-Op Act § 5-6B-23(c)(3)(i)2.

 

In either case, signs may continue to be displayed until 7 days after the election or vote. MD Condo Act § 11-111.2(c)(3)(ii), MD HOA Act § 11B-111.2 (c)(3)(ii), and MD Co-Op Act § 5-6B-23(c)(3)(ii).

 

Condominium and HOA boards should review their governing documents and campaign sign policies to ensure they are consistent with the extended time (30 to 45 days) allowed for display of signage.

 

INCREASED CONDO UNIT OWNER RESPONSIBILITY FOR PROPERTY DAMAGE ORIGINATING IN THEIR UNITS

 

Senate Bill 747 (enacted as Chapter 717) increases the financial responsibility of condominium unit owners up to $25,000 for property damage originating in their units (“unit-originating property damage”) by amending MD Condo Act § 11-114. This legislation does not take effect until October 1, 2027. Maryland General Assembly Website for SB0747, 2026.

 

Background – Master Policies and Responsibility for Payment of Master Deductibles Arising Out of Covered Property Damage Insurance Claims

 

To fully understand how the law will change on October 1, 2027, it is necessary to understand generally how property insurance currently works in a residential condominium community. Below is a brief primer:

 

• Master Policies and Association’s Responsibility to Insure Against and Repair Condo Property Damage: All residential condominiums (except those composed entirely of “detached units”), are required to obtain property insurance for, and to repair or replace, damage or destruction to the common elements and the units, excepting only the subsequent unit “improvements and betterments” installed by unit owners following the developer’s original construction of the unit. MD Condo Act § 11-114(a)(1)(i) and (g)(1). These community-wide property insurance policies are often referred to as “master policies” as opposed to the unit owners’ individual property damage policies on their units.

 

• Master Policy Property Insurance Deductible: Each master policy has a “deductible” (the “master deductible”), which is the amount the association agrees to pay out-of-pocket for a covered property damage loss before its insurance company steps in to pay the remainder. The deductible is intended to act as a shared financial responsibility between insured and insurer.

 

• When Property Damage Does Not Arise from a Unit, the Master Deductible is a Common Expense Paid by the Association: The Association pays the master deductible as a common expense whenever the cause of a covered property damage event originates from the common elements or from an event outside the condominium. MD Condo Act § 11-114(g)(2)(ii). For example, a leak in a common element roof that damages units below or a storm that blows siding from the common element building exterior. In such cases, the deductible is a common expense shared by all unit owners.

 

• When Property Damage Does Arise from a Unit, the Master Deductible is the Unit Owner’s Responsibility up to $10,000: Currently, until October 1, 2027, an individual unit owner is responsible to pay the Association’s master deductible up to the amount of $10,000 whenever the cause of the covered damage originates from that unit owner’s unit. MD Condo Act §11-114(g)(2)(iii). An example of such unit-originating property damage that triggers a unit owners’owner’s statutory deductible responsibility would be a leaking pipe in one unit causing water damage to a common area hallway ceiling or to another unit below. The owner of the unit where the leak originated is responsible to pay the Association’s deductible up to a maximum of $10,000.

 

Increasingly, standard master deductibles for association property damage insurance in Maryland are $25,000 or moremore, making the current $10,000 statutory cap increasingly out of step with market reality.

 

New Three-Part Formula for Determining Unit Owner’s Responsibility for “Unit-Originating Property Damage”

 

The new amendment to MD Condo Act §11-114(g)(2)(iii) will increase the maximum deductible amount payable by a unit owner for unit-originating property damage from $10,000 to $25,000, effective October 1, 2027. Significantly, the amendment makes clear that even when property damage is not covered by the master policy (and thus there is no master deductible to be reimbursed), a unit owner will still be responsible for the actual cost of repairing unit-originating property damage up to $25,000. Thus, going forward from October 1, 2027, a unit owner’s responsibility will no longer be limited to paying the association’s deductible up to a specified cap, but will also extend to the actual cost of repair, not to exceed $25,000.

 

The new statutory amendment provides a three-part formula for determining the amount a unit owner is responsible for in any case of unit-originating property damage:

 

“… the owner of the unit “is responsible for the least of:

 

[1] The total cost of repair or replacement;

[2] The amount of the [association’s master] property insurance deductible as specified in the [association’s master] property insurance policy; or

[3] $25,000.”

 

MD Condo Act § 11-114(g)(2)(iii)1.

 

In short, new § 11-114(g)(2)(iii) will cap unit owner responsibility for unit-originating property damage to the lesser of: (i) the actual cost of repairing or replacing the damage; (ii) the amount of the association’s deductible, if any; or (iii) $25,000.

 

Master Deductibles Over $25,000

 

If the association’s master deductible is higher than 25,000, then the Association pays the portion of the deductible in excess of $25,000 as a common expense. MD Condo Act § 11-114(g)(2)(iii)3.

 

Notification to Unit Owners of Their Insurance Responsibility

 

The amended law also continues to require associations to notify each unit owner annually in writing of the unit owner’s insurance responsibility as well as the amount of the association’s master deductible under the master policy. MD Condo Act § 11-114(g)(2)(iii)2.

 

Availability of Insurance Policy for Inspection

 

The association must “maintain and make available for inspection a copy of all insurance policies” it maintains. MD Condo Act § 11-114(h).

 

NEW MINIMUM INSURANCE COVERAGE REQUIREMENTS FOR UNIT OWNERS

 

Senate Bill 747 (“SB 747”) (enacted as Chapter 717) establishes new insurance coverage requirements that condominium unit owners must maintain on their individual units. This new law is codified in MD Condo Act § 11-114.3 and does not take effect until October 1, 2027. Maryland General Assembly Website for SB0747, 2026. Under new MD Condo Act § 11-114.3(b), most unit owners in Maryland will be required to maintain a condominium unit owner insurance policy (commonly known as an “HO-6 policy”), or a substantially similar property insurance policy on their unit, which must include the following three types of minimum coverage:

 

1. Coverage for the association’s master property insurance deductible up to the amount for which the unit owner can be held legally responsible, which is $25,000.00 starting October 1, 2027. MD Condo Act § 11-114.3(b)(2)(i).
2. Loss assessment coverage of at least $25,000. MD Condo Act § 11-114.3(b)(2)(ii) [Editor’s Note: Loss assessment coverage helps pay a unit owner’s share of a special assessment charged by the association for property damage or liability that isn’t fully covered by the association’s master insurance policy due to a large deductible, insufficient coverage, or other reasons]; and 
3. Dwelling or building property coverage of at least the greater of $25,000 or the amount necessary to repair and replace unit “improvements and betterments” made by the current unit owner or acquired from a previous owner other than the developer, and upgrades conveyed to the unit owner that are the unit owner’s responsibility to insure under the condominium bylaws. MD Condo Act § 11-114.3(b)(2)(iii) [Editor’s Note: Dwelling or building property coverage (a/k/a “Building Property/Dwelling Coverage”) helps a unit owner pay to repair or replace the portions of a condo unit that they are responsible for if damaged by a covered loss. The amount of coverage a unit owner needs depends on what the condominium association’s master insurance policy covers and what the unit owner is responsible for insuring under the condominium’s governing documents].

 

Associations May Not Require Unit Owners to Maintain More Than the Statutory Coverage Minimums

 

Condominium bylaws may not require unit owners to maintain insurance policies with coverage amounts in excess of the three types of legally mandated coverage discussed above. MD Condo Act § 11-114.3(c).

 

Unit Owner Proof of Insurance Must Be Provided Annually and Upon Request

 

Each unit owner must provide their association evidence of the required insurance annually and upon request.  MD Condo Act § 11-114.3(d).

 

Unit Owner Responsibility Is Not Negated by Failure to Maintain Legally Required Unit Insurance

 

Unit owners remain responsible for unit-originating property damage as determined by the Three-Part Formula described above, even if they fail to obtain the legally mandated insurance. MD Condo Act § 11-114.3(e).

 

Excluded Condos— Nonresidential and Similar Detached-Unit Condominiums

 

The new legislation discussed in this article does not apply to a condominium whose units are intended for non-residential use, MD Condo Act § 11-114(i) and MD Condo Act § 11-114.3(a)(1); nor, with few exceptions, does it apply to detached units in a condominium composed entirely of similar detached units. MD Condo Act § 11-114(e)(2) and MD Condo Act § 11-114.3(a)(2).

 

PRACTICAL IMPACT FOR CONDO ASSOCIATIONS AND THEIR MEMBERS FROM INCREASED UNIT OWNER PROPERTY DAMAGE RESPONSIBILITY AND MANDATORY UNIT INSURANCE

 

Practical Impact for Condominium Associations

 

Maryland condominium associations should begin preparing well before October 1, 2027 by:

 

– Reviewing master insurance policy deductibles;

– Updating annual insurance notices to unit owners;

– Creating procedures to request and track HO-6 proof of insurance;

– Reviewing bylaws and rules for consistency with these new statutory requirements;

– Coordinating with insurance professionals and legal counsel regarding enforcement procedures;

– Developing a process for acquiring insurance on behalf of noncompliant owners, if necessary; and

– Updating resale, owner handbook, and management materials to reflect the new law.

 

Practical Impact for Unit Owners

 

Maryland condominium unit owners should review their insurance coverage before the October 1, 2027, effective date to confirm whether their HO-6 policy includes:

 

– Coverage for the association deductible or the portion of the deductible for which the owner may be      responsible ($25,000.00 starting October 1, 2027);

– At least $25,000 in loss assessment coverage; and

– At least $25,000 in dwelling or building property coverage on the unit plus additional amounts of coverage for any “improvements or betterments” and upgrades made to the unit.

Unit owners should also consider increasing these levels of coverage as well as obtaining personal liability coverage, personal property/contents coverage, and loss-of-use coverage for alternative housing if the unit becomes uninhabitable due to damage or ongoing repair. These coverages were included as mandatory requirements in an earlier version of the legislation but were stricken by amendment and are not required by Chapter 717 as enacted. The earlier version of this legislation, in addition to personal property/contents coverage, would have required 12 months of loss-of-use coverage and at least $500,000 in personal liability coverage.

 

CHARLES COUNTY EXPANDS BOARD MEMBER TRAINING REQUIREMENTS FOR CONDOMINIUMS AND HOMEOWNERS ASSOCIATIONS

 

Senate Bill 573 (enacted as Chapter 804) amends the Maryland Condominium Act and the Maryland Homeowners Association Act to expand board member training requirements for common ownership communities located in Charles County. Effective October 1, 2026, the legislation amends MD Condo Act § 11-109 and MD HOA Act § 11B-106.1 and requires each board member and officer of a Charles County condominium, and each governing-body member of a Charles County HOA to successfully complete a training curriculum developed by a common ownership commission recognized by the State or a local government, or administered by an organization approved by such a commission within 90 days after taking office or after beginning a subsequent term if already serving as of October 1, 2025. MD Condo Act § 11-109(c)(2), (3); MD HOA Act § 11B-106.1(g)(2), (3).

 

The amendments also require the applicable condominium board or officers, or HOA governing body, to certify successful completion of the required training, retain copies of the certificates of completion, and report the certification to the common ownership commission within 90 days after certification. MD Condo Act § 11-109(c)(4)(i); MD HOA Act  § 11B-106.1(g)(4)(i). A certificate of completion is valid for three years and when it expires, the certification must be renewed by successfully completing the approved training. MD Condo Act § 11-109(c)(4)(ii), (iii); MD HOA Act  § 11B-106.1(g)(4)(ii), (iii).

 

A board member or officer who fails to satisfy the training requirement may be removed from the board or have their vote invalidated. MD Condo Act § 11-109(c)(5); MD HOA Act § 11B-106.1(g)(5).

The legislation applies only to condominiums and homeowners associations located in Charles County. Its purpose is to promote informed governance by ensuring that volunteer board members receive training regarding their fiduciary duties, legal responsibilities, and the operation of Maryland condominiums and HOAs before continuing to serve.

 

Editor’s Note: Most of the provisions in MD Condo Act § 11-109 are renumbered as a result of the addition of new subsection (c). For example, MD Condo Act § 11-109(d), relating to the powers of a condominium association, s now contained in MD Condo Act § 11-109(e).

 

MARYLAND ANNUAL CORRECTIVE BILL MAKES TECHNICAL CORRECTIONS TO CONDOMINIUM AND HOA STATUTES

 

Senate Bill 844 (Chapter 153) made several technical, non-substantive corrections to the MD Condo Act and the MD HOA Act as part of the General Assembly’s Annual Corrective Bill. The legislation, effective April 14, 2026, was intended solely to correct drafting errors and does not change the legal rights or obligations of condominium associations and HOAs.

 

For condominiums, the Act corrects a misnomer in MD Condo Act § 11-109.2(d)(2)(ii) by replacing the incorrect reference to a “homeowners association’s newsletter” with the correct reference to a “condominium’s newsletter.” The Act also corrects a grammatical error in MD Condo Act § 11-109.2(e) by changing “10 days written notice” to “10 days’ written notice.”

 

For homeowners associations, the Act corrects a misnomer in MD HOA Act § 11B-111.5(a). The prior statute incorrectly referred to the location of the “condominium” when describing where a petition for the appointment of a receiver should be filed. Chapter 153 replaces that reference with the correct term, “homeowners association,” making the statute internally consistent.

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