Shuttled back and forth from the bullpen to the starting rotation with the Rangers and Expos, Stanhouse excelled in 1978 after joining the Baltimore Orioles, where Manager Earl Weaver employed him as a full-time closer. Because of his Harpo Marx hairstyle and pre-game batting practice antics – where his primal scream would entertain early ballpark arrivals – he was quickly labeled Stan the Man Unusual, a pun on the nickname "Stan the Man" for Hall-of-Famer Stan Musial.

Stanhouse finished 3rd in the American League in both 1978 & 1979 in saves, recording 45 over that span, helping the Orioles capture the American League Championship in 1979. He was selected to the American League All-Star team in 1979.

Although an effective closer, Stanhouse had a reputation of walking batters he was not willing to face. Frequently his tactics would lead to dangerous situations in close games with multiple base-runners, and send the chain-smoking Weaver pacing back and forth in the dugout in agony. This resulted in Weaver nicknaming Stanhouse Fullpack, referring to the number of cigarettes consumed while watching him pitch. Weaver also was quoted in saying Stanhouse was an asshole, who ruined his health.

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