Maryland Reserve Study Requirements (2026)

Yes. Maryland requires residential condominiums, most homeowners associations with common areas, and housing cooperatives to have a reserve study and to update it at least every 5 years. Budgets must fund reserves at the amount the latest study recommends, with a limited hardship exception.

Last verified October 12, 2026 by ReservePath research.

Provided for convenience only. This is a summary, not legal advice, and it must not be used to make legal or compliance decisions. Laws change and details vary. Verify Maryland's current requirements in the statute itself and with your association's attorney before you act.

Maryland at a glance

Reserve study required Yes
Applies to Condominiums, HOAs and planned communities, Cooperatives
How often Every 5 years
Site inspection required Not required by statute

Who must have a reserve study

Residential condominiums, homeowners associations with common areas, and cooperative housing corporations must have a reserve study and then an updated study at least every 5 years. The HOA rule applies only where total repair or replacement costs of the listed components are at least $10,000 and does not apply to HOAs that issue bonds for capital expenditures. (see sources)

Site inspection

The statutes define what a reserve study must contain (an itemized component list with useful life, remaining life, cost, annual reserve amount and quantities). The text we read does not mention a site visit or visual inspection. (see sources)

Structural inspections

We found no statewide rule on this in the statutes listed under Sources.

Reserve funding

The annual budget must include reserves. Reserves in the budget must be the funding amount recommended in the most recent reserve study and must be deposited by the last day of each fiscal year. After an initial study, the governing body has 5 fiscal years after the fiscal year of that study to reach the recommended annual funding level. The governing body must develop a funding plan in consultation with a qualified preparer, choosing the component, cash flow, baseline funding, threshold cash flow or another method consistent with generally accepted accounting principles. The plan must give priority to health and safety, structural integrity and essential systems. A two-thirds vote of the governing body can declare a financial hardship and allow a reasonable deviation for 1 fiscal year, renewable by another two-thirds vote, with advance notice to owners. During a hardship, funding must still cover at least those priority items. Reserves used for other purposes must be repaid within 5 years [Real Property 11-109.2 and 11-109.4 for condominiums, 11B-112.2 and 11B-112.3 for homeowners associations, Corporations and Associations 5-6B-26.1 for cooperatives]. (see sources)

Disclosure

Each study must be available for owners to inspect and copy, must be reviewed by the governing body when it prepares the annual proposed budget, and must be summarized and sent to owners with that budget. Condominium resale disclosures must include the current operating budget with the current reserve study report or a summary, and the status and amount of any reserve or replacement fund (Real Property 11-135). (see sources)

Who may prepare the study

The study must be prepared by a person who has prepared at least 30 reserve studies in the prior 3 calendar years, or has participated in at least 30 in the prior 3 calendar years while employed by a reserve study firm, or holds a current license from the State Board of Architects or the State Board for Professional Engineers, or is a reserve specialist (Community Association Institute) or professional reserve analyst (Association of Professional Reserve Analysts). (see sources)

What this means for boards

  • Find out whether the requirement applies to your association type, and when your next study is due.
  • Budget for the study and for any site inspection it must include.
  • Keep the study, the board's funding decision and the reasons for it on record.
  • Ask your association's attorney how the rules apply to your community.

What this means for reserve preparers

  • Confirm which statute governs the association before you scope the work: condominium, planned community and cooperative acts often differ.
  • Match the study level and site visit to what the statute requires.
  • Cite the statute in the report so the board can see what the study satisfies.

How ReservePath handles Maryland

ReservePath supports full studies, updates with a site visit and updates without one, 30-year funding projections, and study renewal reminders based on the cycle you set for each study. It includes in-app compliance guidance for each state as a starting point. The preparer and the association's attorney remain responsible for confirming what the law requires.

Frequently asked questions

Does Maryland require a reserve study?

Residential condominiums, homeowners associations with common areas, and cooperative housing corporations must have a reserve study and then an updated study at least every 5 years. The HOA rule applies only where total repair or replacement costs of the listed components are at least $10,000 and does not apply to HOAs that issue bonds for capital expenditures.

How often is a reserve study required in Maryland?

Every 5 years under the statutes listed on this page. The statutes define what a reserve study must contain (an itemized component list with useful life, remaining life, cost, annual reserve amount and quantities). The text we read does not mention a site visit or visual inspection.

Who can prepare a reserve study in Maryland?

The study must be prepared by a person who has prepared at least 30 reserve studies in the prior 3 calendar years, or has participated in at least 30 in the prior 3 calendar years while employed by a reserve study firm, or holds a current license from the State Board of Architects or the State Board for Professional Engineers, or is a reserve specialist (Community Association Institute) or professional reserve analyst (Association of Professional Reserve Analysts).

Does Maryland require reserves to be funded?

The annual budget must include reserves. Reserves in the budget must be the funding amount recommended in the most recent reserve study and must be deposited by the last day of each fiscal year. After an initial study, the governing body has 5 fiscal years after the fiscal year of that study to reach the recommended annual funding level. The governing body must develop a funding plan in consultation with a qualified preparer, choosing the component, cash flow, baseline funding, threshold cash flow or another method consistent with generally accepted accounting principles. The plan must give priority to health and safety, structural integrity and essential systems. A two-thirds vote of the governing body can declare a financial hardship and allow a reasonable deviation for 1 fiscal year, renewable by another two-thirds vote, with advance notice to owners. During a hardship, funding must still cover at least those priority items. Reserves used for other purposes must be repaid within 5 years [Real Property 11-109.2 and 11-109.4 for condominiums, 11B-112.2 and 11B-112.3 for homeowners associations, Corporations and Associations 5-6B-26.1 for cooperatives].

What reserve information must be disclosed in Maryland?

Each study must be available for owners to inspect and copy, must be reviewed by the governing body when it prepares the annual proposed budget, and must be summarized and sent to owners with that budget. Condominium resale disclosures must include the current operating budget with the current reserve study report or a summary, and the status and amount of any reserve or replacement fund (Real Property 11-135).

Sources

Provided for convenience only. This is a summary, not legal advice, and it must not be used to make legal or compliance decisions. Laws change and details vary. Verify Maryland's current requirements in the statute itself and with your association's attorney before you act.

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