Rent late fee law in Maryland

The rule in Maryland

Maryland caps a residential late fee at 5% of the rent due for the period (Md. Code, Real Prop. § 8-208(d)(3)): “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; or.”

On timing, the section quoted sets no waiting period, so a late fee that the lease provides for can apply from the day after rent is due.

In dollars: $1,000 rent allows up to $50, $1,500 rent allows up to $75 and $2,000 rent allows up to $100.

At $1,500 a month, Maryland's ceiling of $75 is 5% of the rent and ranks 5th highest of the 10 verified states that set a dollar or percentage limit; Virginia allows the most ($150) and New York the least ($50). Late in every month of a year, the ceiling adds up to $900.

Neighbouring states with a verified rule: Delaware (5% of the monthly rent, 5-day wait) and Virginia (10% of the periodic rent or 10% of the balance owed, whichever is less).

Where rent is paid in weekly installments the penalty may not be more than $3 a week or $12 a month (§ 8-208(d)(3)(ii)).

Related Maryland rules: ending a month-to-month tenancy takes 60 days (notice rules); a security deposit is due back within 45 days of the end (deposit rules); disputes over fees go to small claims up to $5,000 (small claims).

Source: Maryland General Assembly, Real Property § 8-208 · last checked October 21, 2026.

Reading a lease against the statute

A late fee needs a basis in the rental agreement, and the statute sets the outer limit. The guide on rent late-fee limits works the verified caps through the same rents side by side.