2020 Vision: Maryland Condominium Legislative Update

Condominium insurance, replacement reserves and dispute resolution procedures were among the condominium and homeowners association topics which were considered during the 2019 Maryland legislative session.  However, virtually no new laws affecting community governance were enacted this year.

Looking ahead to 2020, legislation concerning insurance, reserves and dispute resolution is likely to introduced again.

Condominium Insurance Deductibles

Where damage to condominium units and common elements is caused by fire, water or other perils covered by the master property damage insurance, the Maryland Condominium Act requires a unit owner to pay up to the first $5,000 of repair expenses when the cause of the damage originates in that owner’s condominium unit.  While some condos choose a higher deductible, others can only obtain insurance with a deductible of $10,000 or more.  This leaves the condominium association responsible for repair expenses between $5,000 and the amount covered by insurance. Continue reading

Short Term Rentals Coming Soon to Montgomery County, Maryland

Short term rentals will soon be allowed in all residential areas of Montgomery County, Maryland.  A home rented on a daily or weekly basis is often referred to as an AirBnb–which is the dominant online booking web site for short term rentals.

Under current law, no residential rentals are permitted in Montgomery County for less than 30 days.  Faced with widespread illegal daily and weekly rentals, the County Council passed legislation in October, 2017 to allow these rentals where the property is the primary residence of the owner or owner-authorized resident of the rental property. However, condominiums, homeowner associations and housing cooperatives will still be allowed to ban or restrict short term rentals.  Continue reading

HOT TOPICS IN COMMUNITY ASSOCIATION GOVERNANCE!

Fair Housing, Assessment Collection, and Governing Documents are the featured topics at a FREE educational event for board members and managers presented by Thomas Schild Law Group.

Keep current on legal news and trends which affect condominium associations, homeowners, and housing cooperatives in Maryland and the District of Columbia by attending HOT TOPICS IN COMMUNITY ASSOCIATION GOVERNANCE on Saturday August 26, 2017 in Rockville, Maryland.

Attorneys Thomas Schild, Scott Silverman, and John Tsikerdanos will highlight recent court decisions, laws and federal regulations which impact the governance of every community association!  Sessions include:

>>> Understanding and Amending the Governing Documents

>>> Show Me the Money–Tips for Collecting Delinquent Assessments

>>> Avoiding Fair Housing Harassment and Accommodation Claims

Advance Registration is REQUIRED–Seating is Limited.

REGISTER NOW.

 

Posted by Thomas Schild Law Group, LLC, attorneys for condominiums, homeowner associations and housing cooperatives in Maryland–including Montgomery County, Prince George’s County, Howard County, Frederick County, and Baltimore County; and in Baltimore City and  Washington, D.C.

 

 

 

Maryland Makes it Easier to Amend Condo Bylaws and HOA Covenants

Changes to the Maryland Condominium Act and Maryland Homeowners Association Act will soon make it easier to amend the governing documents of condominiums and homeowner associations.

The new law allows amendments to be made by a vote of members “in good standing” instead of all of the owners.  An owner is not in good standing if the payment of assessments or other charges is in arrears for more than 90 days.

Additionally, the votes required to approve amendments to condo bylaws and the declaration and bylaws of a homeowner association is reduced to 60 percent of the total votes in the condo or HOA, or such lower amount allowed by the association governing documents, beginning October 1, 2017.  Continue reading

2017 Maryland Condo and HOA Legislation–The Final Score

During the 2017 Maryland legislative session, the General Assembly considered many bills regarding condominium and homeowner association governance, foreclosure procedures, state registration of community associations, and regulation of community association managers.

Legislation passed includes bills to make it easier to amend condo bylaws and an HOA declaration; require lender notice of foreclosure sale postponement and cancellation; and require community associations to provide owner notice of common property sales, including government tax sales. Continue reading

2017 Maryland Condo and HOA Legislation–What’s Hot and What’s Not

With the Maryland General Assembly now in the final month of the 2017 legislative session which ends on April 10, several bills regarding community associations are still under consideration.  Other bills have died in committee.  A bill must be passed by the Maryland House and Senate and signed by the Governor in order to become law.

Here’s What’s HOT!

State Registration of Community Associations.  Legislation to require each condo, co-op and HOA to register with the state has been passed by the House after it was amended to limit the information required.  For communities which already register with the county, no additional state registration would be required. The bill is now under review in the Senate.

Manager Licensing.  A bill to require community managers to obtain a State license has been introduced again this year.  Manager licensing legislation was previously considered in 2014 and is under study again in the House of Delegates.  The proposed legislation would require a manager to have specified training, pass a test and pay a license fee in order to provide management services to condos, coops and HOAs.

Replacement Reserves for Capital Expenditures.  Every five years, each condominium and homeowners association would be required to obtain a study of the estimated costs to repair and replacement of building structural components, roads, recreation facilities and other similar items.  The House has passed this legislation which is now under review in the Senate.

Foreclosure Sale Notice.   A lender which sells a property at foreclosure would be required to give written notice of the proposed sale to any condo or HOA which has recorded an assessment lien against the property at least 30 days before the sale date.  Notice of any postponement or cancellation  of the foreclosure sale must also be provided to the property owner, condo and HOA.  This legislation has passed both the House and Senate.

Governing Documents.  Still under study are bills to make it easier to amend condo and HOA governing documents and to invalidate condo document provisions which limit the time for bringing condominium legal claims regarding construction defects.

Here’s What’s NOT

Electric Vehicle Charging Stations.  A bill to invalidate condominium and homeowner association covenants which prohibit or unreasonably restrict the installation electric vehicle charging stations in parking spaces designated for the exclusive use of a homeowner was killed by House and Senate committees.

Backyard Gardens.  Also killed in committee was a bill to invalidate association covenants which prohibited gardens in the backyard of a home.

Smoking Restrictions.  Legislation to allow the board of directors of a condominium or homeowners association to adopt rules to prohibit tobacco smoking in an owner’s  condo or townhome was voted down in committee.

For updates and details on legislation affecting Maryland condos, co-ops and homeowner associations, sign up for the Maryland Condominium & HOA Law Blog to receive the latest blogposts by email.

Posted by Thomas Schild Law Group, LLC, attorneys for condominiums, homeowner associations and housing cooperatives in Maryland–including Montgomery County, Prince George’s County, Howard County, Frederick County, and Baltimore County; and in Washington, D.C.