Late Rent Fee Limits in Maryland
At a glance
| Governing law | Md. Real Prop. Code § 8-208(d)(3), (g) — residential lease late-penalty cap and remedies |
|---|---|
| Maximum late fee | 5% of unpaid rent due for the delinquent rental period; weekly installments use separate § 8-208(d)(3)(ii) wording |
| Grace period | None stated in § 8-208; § 8-401(c)'s 10 days govern notice before a nonpayment eviction filing, not fee attachment |
| Lease or notice requirement | Cap is framed as a prohibited lease provision; landlords offering 5+ units must use a written lease, but no separate late-fee assessment notice is stated (§ 8-208(a), (d)) |
| One-time or recurring | Cap applies to the penalty for each delinquent rental period; no daily-accrual formula stated. Weekly leases have a separate per-week rule |
| Calculated on | The unpaid rent due for the rental period, not the original full amount due (§ 8-208(d)(3)(i), effective Oct. 1, 2025) |
| Related fees & carve-outs | Weekly: text bars more than $3 per week and contains internally inconsistent '$12 per month' wording; local law may add rights but may not diminish § 8-208 rights (§ 8-208(f)) |
| If the fee is unlawful | Prohibited clause unenforceable; actual damages including reasonable attorney's fees if landlord includes, tenders, attempts to enforce, or announces intent to enforce it (§ 8-208(g)) |
Requirements one by one
Five percent of what remains unpaid
Md. Real Property Code § 8-208(d)(3)(i) prohibits a lease provision imposing a late-payment penalty above 5% of the unpaid rent due for the rental period in question. If $1,500 was due and the tenant paid $1,000 before the fee was calculated, the remaining unpaid rent is $500 and the statutory ceiling is $25.
That unpaid-balance language took effect October 1, 2025 under 2025 Maryland Laws chapter 580. The prior wording used the amount of rent due; current law now expressly uses the amount of unpaid rent due.
The enacted amendment states:
(3) (i) Provides for a penalty for the late payment of rent in excess of 5% of the amount of UNPAID rent due for the rental period for which the payment was delinquent.
No fee-specific grace period
Section 8-208 does not state a number of days that must pass before the capped penalty may attach. Md. Real Property Code § 8-401(c)(1) separately requires a 10-day written notice and opportunity to cure before a landlord files a residential nonpayment-possession complaint. That is an eviction-filing clock, not a 10-day late-fee grace period.
Weekly-rent wording needs care
For leases paid in weekly installments, § 8-208(d)(3)(ii) says a lease may not provide for a late penalty "of more than $3 per week or a total of no more than $12 per month." The phrase "no more than $12" is internally inconsistent when placed inside a list of provisions the landlord may not use. The current compiled statute and the 2025 enacted chapter both print that same wording, so this page does not silently rewrite it. The $3-per-week limit is clear; obtain state-specific advice before relying on the monthly-total phrase in a dispute.
The remedy is written into the same section
Under § 8-208(g), a prohibited lease provision is unenforceable. If a landlord includes and tenders the provision, tries to enforce it, or makes known an intent to enforce it, the tenant may recover actual damages caused by the violation, including reasonable attorney's fees.
What trips people up
The cap changed its calculation base in 2025. It is now 5% of unpaid rent, not automatically 5% of the full periodic installment.
The 10-day nonpayment notice is not a grace period. It controls when the landlord may file for possession. Section 8-208 itself states no fee waiting period.
Local law can add protection. Section 8-208(f) preserves supplementary rights under local law but says local law cannot diminish the section's rights or remedies.
Common questions
My monthly rent is $2,000 and $600 remains unpaid. What is the state cap? Five percent of $600 is $30.
Can the lease charge the fee on day two? Section 8-208 gives no statewide fee-specific grace period. A lease or local law may still affect timing.
What if the lease says 10%? The portion above the statutory ceiling is in a prohibited provision. Section 8-208(g) makes a prohibited provision unenforceable and supplies the actual-damages and attorney-fee remedy described above.
Statutes and sources
- Md. Real Property Code § 8-208(a), (d)(3), (f), (g) — written-lease rule
for landlords offering five or more units, late-fee cap, local-rights floor,
and tenant remedies.
A landlord may not use a lease or form of lease containing any provision that ... [p]rovides for a penalty for the late payment of rent in excess of 5% of the amount of unpaid rent due for the rental period for which the payment was delinquent. ... Any lease provision which is prohibited by terms of this section shall be unenforceable by the landlord. ... [T]he tenant may recover any actual damages incurred as a reason thereof, including reasonable attorney's fees.
Official source: https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=grp§ion=8-208 (accessed 2026-08-24)
- 2025 Md. Laws ch. 580, §§ 1-2 — adds "unpaid" to the calculation base and
makes the change effective October 1, 2025.
Provides for a penalty ... in excess of 5% of the amount of UNPAID rent due for the rental period for which the payment was delinquent. ... This Act shall take effect October 1, 2025.
Official source: https://mgaleg.maryland.gov/2025RS/chapters_noln/Ch_580_hb0273T.pdf (accessed 2026-08-24)
- Md. Real Property Code § 8-401(c)(1) — 10-day prefiling nonpayment notice,
not a fee grace period.
Before a landlord may file a complaint under this section, the landlord shall provide to the tenant a written notice of the landlord's intent to file a claim in the District Court against the tenant to recover possession of the residential premises if the tenant does not cure within 10 days after the written notice is provided to the tenant.
Official source: https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=grp§ion=8-401 (accessed 2026-08-24)
Source links
Every statute quoted above, linked, with the date we checked it.
What does Maryland law mean for your facts?
You just read the general rule. Ask your own question and see which parts of current Maryland law apply to your situation, with citations you can check.
Opens in Ezel Pro.
- Starts from the statutes this survey is built on
- Cites every source it relies on, so you can verify it
- Chat, drafting and research in one workspace