Two new Maryland laws will restrict the use of criminal history in resident screening and codify a disparate impact standard under state fair housing law, creating new considerations for housing providers.
The Big Picture
On May 25, 2026, Maryland Governor Wes Moore signed two housing measures into law that will affect resident screening and fair housing requirements across the state.
The first measure, the Fair Chance Housing Act (SB 937), places new restrictions on the use of criminal history information during the resident screening process. The law limits when certain criminal background information may be requested or considered and establishes new standards for evaluating applicants with criminal records. The measure takes effect October 1, 2026.
Governor Moore also signed HB 573, which codifies a disparate impact standard under Maryland fair housing law and expands the state’s authority to adopt regulations related to affirmatively furthering fair housing. The legislation permits challenges to housing practices based on discriminatory effect, even without evidence of intentional discrimination. The law also preserves a defense for certain legitimate, nondiscriminatory business practices. This measure also takes effect October 1, 2026.
What This Means
The enactment of SB 937 and HB 573 reflects a broader trend of states establishing their own approaches to regulate fair housing as the federal government dramatically changes its own enforcement priorities. While intended to expand housing opportunities and address concerns about discrimination, the measures also place new limits on screening practices and broadens the circumstances under which housing policies may be challenged under state law.
NAA’s Perspective
The National Apartment Association (NAA) and its members support equal opportunity in housing and remain committed to complying with fair housing requirements.
NAA has long maintained that criminal background checks are an important component of the overall resident screening process and an essential tool for housing providers to manage risk.
NAA has also consistently urged policymakers to provide greater clarity around disparate impact liability. Without clear standards, neutral housing policies may be subject to legal challenges based on their effect, even when there is no intent to discriminate.
As policymakers continue to pursue fair housing and fair chance housing initiatives, NAA encourages solutions that expand housing opportunities while preserving clear, workable standards for housing providers. NAA will continue monitoring developments in Maryland and across the country as states increasingly pursue their own resident screening and fair housing policies. Housing providers should consult their local fair housing counsel with any compliance questions that may arise from these laws.
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