Maryland REALTORS® Support State Housing Expansion and Affordability Act of 2024, Codifying Missing Middle Housing

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Maryland REALTORS® Support State Housing Expansion and Affordability Act of 2024, Codifying Missing Middle Housing

August 2024

The annual Housing Survey that Maryland REALTORS® conducts with NAR has positioned the association as the go-to expert when governmental decision-makers are considering housing policies.  This year, pointing to the statewide shortfall of 130K affordable housing units, REALTORS® were at the forefront of the effort to pass the landmark Housing Expansion and Affordability Act of 2024.  A Call for Action supported by the REALTOR® Party helped it cross the finish line.   As Christa McGee, Maryland REALTORS®’ Grassroots and Policy Advocate, explains, “In Maryland, we have typically had a hands-off, stay-in-your-lane approach regarding local government oversight, but this year, the housing shortage hit a crisis point.  The Governor declared it his top priority and his administration became pro-active in pre-empting local authority over important housing definitions, qualifications, and requirements that pave the way for increases in affordable housing.”  The administration led the charge, she says, and Maryland REALTORS® were at their side every step of the way.    Most significantly, for the first time ever, the landmark legislation defines ‘Middle Housing,’ which REALTORS® have been calling attention to for years.  Here are the Act’s highlights, now codified in Maryland law: 
  • Middle Housing is understood to include duplexes, triplexes, cottage clusters, and townhomes.  
  • Cottage Clusters are defined as a group of at least four detached units per acre having less than a 900 square foot footprint and arranged around a courtyard. 
  • For the purposes of this legislation, Affordable Housing is defined as a unit that is affordable to households making 60% of the area median income for a term of at least 40 years. 
  • Modular housing can no longer be prohibited on single-family lot. 
  • ‘Qualified projects,’ in which bonus density may be awarded in exchange for a percentage of the units being dedicated as affordable housing, include certain properties that are classified as government-owned, transit-oriented, or non-profit owned. 
  • Localities cannot use their Adequate Public Facilities Ordinances or other provisions to unreasonably restrict these “qualified projects.” 
  • The establishment of a Historic Revitalization Director, whose mission is to maintain an inventory of state historic properties for disposition or revitalization.  
Working closely with the Governor’s office, the REALTORS® agreed to numerous amendments, not all of which they favored, but, as McGee notes, “Compromise is the essence of advocacy, and we got a great deal more than we gave up.”  As the bill approached the final vote, she asked a colleague if the administration would like the REALTORS® to issue a Call For Action targeting a key Senate Committee.  “Yes, please!!” was the response.  “I can’t say enough about how fast the REALTOR® Party team was able to get the CFA up and running,” says McGee.  “Because of our recent testimony, we pretty much had the language down, so it was a matter of just a few phone calls, totaling a matter of minutes – really!”  It helped, she adds, that she had gained experience with the process just weeks before, when Maryland REALTORS® successfully fought a sales tax on services – also leveraging the power of a Call for Action.     Passing with strong bi-partisan support (98-38 in the House; 31-13 in the Senate,) HB 538 was the first bill of the session that Governor Wes Moore signed into law, an event attended by a proud contingent of Maryland REALTORS® leadership.  Says McGee, “Our members are very happy that we at the state level are doing something that positively impacts them every day.  We are grateful to NAR for helping us get it done.”   To learn more about how Maryland REALTORS® is working to promote housing affordability and missing middle housing in the state, contact Christa McGee, Grassroots and Policy Advocate, at Christa.McGee@mdrealtor.org or 443-716-3500. 

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