The Issues
Rent control severely constrains economic development and results in lower quality housing, increased housing costs, fewer housing options, and less funding for education and public safety in the County.
Rent Control severely reduces economic development and job creation.
Like much of the state, Prince George’s County’s population and economic growth have stagnated, contributing to the large budget deficits that the county is facing. The reduction in job opportunities and economic activity caused by rent control will force the County to cut services to residents, raise taxes, or both. Funding for education and public safety would likely be affected.
According to the 2023 State of the Economy report by the Maryland Office of the Comptroller, census data places Prince George’s County in the bottom third of the country for new business growth. Furthermore, “employers and economic development professionals in the National Capital Region are concerned they are losing workers to Northern Virginia and worry about a brain drain given that there are increasingly more employment opportunities in business centers in Northern Virginia (i.e., Tyson’s Corner and Arlington) and more affordable living options.”
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Rent control will drive away critical investment in housing construction, including the types of mixed-use developments and amenities that residents want to see in the County. The result will be fewer new shopping centers, restaurants, and activity centers that rely on housing to succeed, along with the jobs and lost economic output that come with them. Prince George’s County cannot afford to lose out.
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Additionally, many young adults searching for rental options will have to look elsewhere due to the lack of available apartments, further hampering economic growth in the County and leaving it with an aging population. This has been the experience in Takoma Park, a city in Montgomery County, that has had rent control on the books for decades. 
Rent Control results in lower quality housing and fewer options.
According to the Montgomery County Office of Legislative Oversight Report 2023-5, researchers have found higher level of maintenance issues in rental housing in jurisdictions with rent regulations compared to jurisdictions without. This occurs because rent control forces property owners to cut back on services and defer maintenance resulting in poorer quality housing conditions. 58% of all rental housing in Prince George’s County was built prior to 1980, meaning these properties are at least 44 years old. Subjecting this older housing to rent control will accelerate its decline in quality, which will negatively impact property values.
Rent Control will be expensive for the County to implement.
Rent control regulations are complex and require additional government staff and technology upgrades to implement, which will cost millions every year. This will further strain the County's already tight fiscal outlook. This year the County faces a $171 million structural budget deficit that has led the County Executive to propose freezing 800 positions, across the board budget cuts, and tapping into the County's rain day fund. The county will also lose millions in annual tax revenue as the value of rental properties decline, fewer real estate transactions occur, and mixed-use development stalls. For $11 million, the County can help approximately 1,100 needy families with emergency rental assistance (based on the average award for the County’s ERAP program found here).
Source: Council Staff Report