North Carolina Landlord-Tenant Law: 2025 Overview of Rights

Navigating North Carolina landlord-tenant law is essential to creating lease agreements, screening tenants lawfully, maintaining habitable properties, maneuvering eviction proceedings, and handling other essential duties.

In this guide, we’ll clarify North Carolina landlord-tenant rights and responsibilities by providing detailed information on fair housing laws, lease agreements, security deposits, landlord maintenance responsibilities, local ordinances, eviction procedures, and more.

Keep reading to learn more about North Carolina landlord-tenant laws and to better understand your rights and responsibilities as a landlord or tenant.

Best Practices for Screening Prospective Tenants

North Carolina landlords are legally allowed to require tenants to pay a rental application fee, and no laws restrict the amount they can charge.

When screening tenants, landlords must abide by federal fair housing laws and could face legal action if they discriminate against current or prospective renters.

Landlords who aim to generate discrimination-free rental applications and screen tenants should consider using property management software to streamline the process.

Compliance with Fair Housing Laws in North Carolina

The federal Fair Housing Act, which is valid across all 50 states, prevents landlords from discriminating against prospective tenants when selecting renters for their properties.

What actions are considered housing discrimination?

Landlords must provide equal housing opportunities to everyone, regardless of race, color, sex, religion, national origin, disability, or familial status. They cannot refuse to rent, sell, or negotiate housing terms based on these protected characteristics.

How can discrimination be avoided in rental practices?

Property owners who want to prevent housing discrimination should have rigid protocols in place to ensure that they abide by fair housing practices.

Here are a few tips that can help:

• Use neutral advertising: When creating rental listings, avoid wording that renters could perceive as discriminatory. Phrases like “no young children” create an uneven playing field for applicants.
• Document interactions with applicants: Keep records of all relevant interactions with potential tenants to use as evidence if a tenant files a claim against you.
• Keep screening practices consistent: Run all potential tenants through the same screening process to avoid any possibility of accidental discrimination.

What are the repercussions for fair housing violations?

Landlords who violate federal fair housing laws could face numerous consequences, including:

• Court orders requiring landlords to stop all discriminatory housing practices
• Financial awards to compensate victims for monetary losses and/or emotional harm
• Civil fines imposed on landlords to discourage future violations
• Criminal prosecution and potential imprisonment for egregious violations

If you believe you’ve experienced housing discrimination, contact an attorney or file a complaint with the U.S. Department of Housing and Urban Development (HUD) or the North Carolina Office of Administrative Hearings.

North Carolina Lease Agreements

North Carolina law doesn’t explicitly require landlords and tenants to enter into rental contracts, although doing so is a common practice and is highly encouraged.

Legally binding North Carolina lease agreements outlining the rental terms can help protect and preserve the rights of both landlords and tenants.

The majority of written lease agreements can be defined as:

• Fixed-term: Lease agreements with start and end dates
• Month-to-month: Lease agreements that can be renewed or terminated every month

Which lease terms are legally required in North Carolina?

Although North Carolina law doesn’t mandate specific terms that landlords must include within their rental contracts, providing the following information is common:

• Names of parties entering into the rental contract
• Rental property address
• Length of rental agreement
• Rent and security deposit amounts and due dates
• Mandatory North Carolina landlord disclosures
• Maintenance and repairs process
• Division of utilities
• Tenant rights and responsibilities
• Landlord rights and responsibilities

What constitutes legal renting in North Carolina?

Both landlords and tenants must adhere to certain rights and responsibilities to maintain a standard of legal renting between both parties. Here are a few key responsibilities of legal renting:

Landlord Responsibilities

• Abide by federal fair housing laws: Landlords must not discriminate against current or prospective tenants based on race, color, sex, religion, national origin, disability, or familial status.

• Maintain a habitable living standard for rental units: Landlords must provide tenants with clean, safe, and habitable living conditions at all times, including timely repair execution.

• Provide reasonable notice before entry: Unless there is an emergency, landlords should always provide tenants reasonable notice before entering rental units; tenants may perceive failure to do so as landlord harassment or a privacy violation.

Tenant Responsibilities

• Pay rent on time: Tenants must make rent payments on time as defined in the lease agreement (or within a 5-day grace period after the due date).

• Care for the rental unit: Tenants must keep the rental unit clean and avoid causing damage beyond wear and tear.

• Adherence to lease terms: Tenants must abide by their rental contract’s agreed-upon terms.

What tenant documentation is required?

Prospective tenants are not required to provide documentation in North Carolina; however, landlords commonly require that tenants provide the following information within a rental application:

• Government identification
• Contact information
• Proof of income
• Credit check
• Background check
• Rental references

To properly screen potential renters, landlords should require that applicants provide them with the above-listed information.

What are the mandatory landlord disclosures in North Carolina?

Per North Carolina legislation, landlords must make certain disclosures to tenants before entering into a lease agreement. These disclosures include:

• Lead-based paint: If a property was built before 1978, landlords must inform tenants of potential lead-based paint hazards within their unit. This is a federal law.
• Security deposit receipt: Within the first 30 days after a lease begins, landlords must provide tenants with a security deposit receipt that includes the bank’s details and location (G.S. § 42-50). The bank details may also be disclosed in the lease agreement.
• Accidental damage notice: Landlords must inform tenants that they are not liable for accidental damage within the rental unit (G.S. § 42-10).

Security Deposits in North Carolina

Security deposits are sums of money paid from tenants to landlords to cover unpaid rent, property damage, and cleaning costs. Though landlords are not legally required to collect security deposits in North Carolina, most do.

What are the guidelines for security deposit collection?

Although landlords can require tenants to pay a security deposit in North Carolina, there are limits on how much they can charge (G.S. § 42-50):

• Week-to-week rental agreements: Up to two weeks’ rent
• Month-to-month rental agreements: Up to one-and-a-half months’ rent
• Fixed-term rental agreements longer than a month: Up to two months’ rent

In North Carolina, landlords can also require tenants to pay “a reasonable, nonrefundable” pet deposit. There is no limit on how much they can charge (G.S. § 42-53).

When can deductions be made from security deposits?

North Carolina landlords can deduct money from a tenant’s security deposit for any of the following reasons (G.S. § 42-51):

• Non-payment of rent or utilities
• Damage to the property or its smoke/carbon monoxide alarms
• Financial damages to landlord due to tenant not finishing a rental contract
• Unpaid bills that become a lien against the demised property
• Re-renting costs after contract breach by tenant
• Costs of removing and storing a tenant’s possessions

When making deductions against a security deposit, landlords must create detailed, itemized documentation (with receipts) for each deduction and share the information with the tenant.

How should security deposits be returned?

State law requires landlords to return security deposits to tenants within 30 days of the lease’s end date. If a landlord wishes to withhold any money from the security deposit, they must create an itemized list detailing each deduction.

If a landlord fails to return a security deposit within the 30-day timeframe, they are not entitled to keep any portion of the deposit and must return the entire amount to the tenant. If landlords fail to do so, they could face legal action from the tenant.

Maintenance Responsibilities of Landlords

As mentioned previously, North Carolina landlords must always maintain habitable standards for tenants in their rental units.

What are the legal standards for property conditions?

For a property to be considered habitable, it must:

• Be safe and sanitary and free from pests, mold, and other health hazards
• Have fully functioning systems like plumbing, heating, and electric
• Be structurally sound, stable, and hazard-free
• Have adequate temperature control via heating and/or air conditioning
• Obey local housing codes that apply to the property’s town or county

What is the proper protocol for repairs?

If a North Carolina rental unit becomes inhabitable, tenants have the right to contact their landlord and request timely repairs to bring the property back to livable standards. Tenants should issue landlords a written or electronic repair request with a deadline to set expectations.

Once a landlord receives the request, they are required to perform the repairs in a timely fashion. If they fail to complete repairs and the property remains uninhabitable, the tenant can sue the landlord for damages (but can’t withhold rent unless a judge permits).

A landlord’s failure to perform repairs promptly could be seen as constructive eviction in the eyes of the law, allowing the tenant to move out and terminate their lease without further obligation to pay rent.

Do landlords need to give tenants advance notice before accessing a rental property?

In North Carolina, no statutes require landlords to give tenants advance notice before accessing a rental property.

That said, landlords should attempt to give tenants at least 24 hours’ notice before accessing a property for repairs, showings, or inspections. Providing advance notice can help prevent tenant claims of landlord harassment and privacy violations.

In emergencies when 24 hours of advance notice isn’t possible, landlords can enter properties as they see fit but should still attempt to notify tenants of their urgent need to enter before they arrive.

Late Rent Fee Regulations

In North Carolina, tenants must pay rent to their landlord within five days of its due date before landlords can charge a late rent penalty. If a landlord wishes to charge a late fee, they can charge up to $15 or 5% of the monthly rent amount, whichever is greater (G.S. § 42-46).

If a tenant fails to pay rent within 10 days of its due date, landlords can issue them a 10-day Notice to Cure or Quit. If the tenant fails to pay their rent by the date specified in the notice, landlords will have legal grounds to file an eviction lawsuit against them.

Rent Control in North Carolina

North Carolina does not have rent control laws, meaning landlords can set rent prices as they wish. Additionally, no limits restrict how much landlords can raise rent between rental contracts.

Lease Renewal and Termination

North Carolina landlords are not legally required to renew a tenant’s rental contract.

Landlords and tenants who don’t intend to renew a fixed-term lease aren’t required to give notice before the contract’s end date. If a landlord or tenant wishes to terminate a month-to-month lease, they must provide the other party with at least 7 days’ advance notice.

As mentioned earlier, landlords should follow federal fair housing laws, which forbid them from refusing to renew leases based on a tenant’s race, color, sex, religion, national origin, disability, or familial status.

Under certain circumstances, North Carolina tenants can terminate a lease before its end date without legal ramifications. Those circumstances include:

• Tenant is a victim of domestic violence or other crimes
• Tenant is a member of the military and is called to duty
• Landlord fails to provide habitable housing to the tenant
• Landlord repeatedly harasses the tenant or violates their privacy
• Tenant exercises an early termination clause within the lease

If a landlord wishes to terminate a rental agreement before its end date, they must exercise an early termination clause within the lease or initiate eviction proceedings with the courts.

Eviction Procedures for North Carolina Landlords

If a North Carolina landlord wishes to evict a tenant, they should understand their state’s specific guidelines before trying to do so.

What justifications exist for eviction?

There are four reasons a landlord can pursue eviction of a tenant in North Carolina:

1. Non-payment of rent: Tenant does not pay their outstanding rent by the date outlined in a ten-day Notice to Quit issued by their landlord
2. Lease violation: Tenant breaches the terms of their lease agreement.
3. Criminal activity or drug trafficking: Tenant commits crimes or drug trafficking within their rental unit or complex. Criminal activity can be cause for expedited eviction.
4. Holdover tenant: Tenant refuses to vacate the rental property after their lease agreement has expired.

What is the eviction process?

If a tenant gives their landlord cause for eviction, the landlord must follow North Carolina eviction protocols to legally expel them from the property. Here are the steps in the North Carolina eviction process:

• Landlord issues the tenant a Notice to Quit or Notice to Cure, demanding that they fix an issue or face eviction.
• Tenant has a chance to cure the issue. If the issue is curable, tenants can avoid eviction by remedying the Notice to Quit or Notice to Cure issued by the landlord.
• Landlord files an eviction lawsuit with the courts if a tenant is unable to meet the demands of the Notice to Quit or Notice to Cure by its deadline.
• Tenant is served a summons with a date and time to appear in court and a copy of the landlord’s eviction lawsuit.
• Landlord and tenant present evidence to a judge. (Landlords and tenants must keep detailed records supporting their case.)
• A judge decides whether to evict the tenant or allow them to remain at the rental property.
• If the judge rules in favor of eviction, they will issue a Writ of Possession to the tenant, informing them to move out of the rental property within 10 days or face forcible eviction.
• Law enforcement forcibly evicts the tenant if they haven’t moved out of the rental property within 10 days of receiving the Writ of Possession.

Note: Landlords and tenants engaged in an eviction dispute should document all relevant evidence and consider hiring legal counsel.

How is property reclaimed after eviction?

After executing a Writ of Possession and evicting a tenant, law enforcement will either leave the tenant’s belongings at the property (only if the landlord informs them to do so) or relocate them to a paid storage unit at the landlord’s expense.

The landlord must inform the tenant where their property is stored and allow them up to 7 days after the Writ of Possession’s execution to retrieve their belongings.

If the tenant does not claim their possessions before the 7-day deadline, they will become the landlord’s property. The landlord can also attempt to charge the ex-tenant for the cost of transferring and storing their belongings.

Local Ordinances for Landlords and Tenants

North Carolina’s official landlord-tenant legislation can be found online at the North Carolina General Assembly website under Chapter 42 of the North Carolina General Statutes.

Local North Carolina ordinances vary depending on location, so reference a town’s, city’s, or county’s specific legislation to understand its local laws better. Visit North Carolina’s Municode directory for an up-to-date listing of local ordinances.

Federal Landlord-Tenant Laws

Specific federal legislation and organizations influence landlord-tenant laws on a national level. These include:

• Fair Housing Act: Prohibits discrimination in housing based on several protected categories
• Americans with Disabilities Act: Prohibits discrimination against individuals with disabilities
• US Department of Housing and Development (HUD): Federal agency that enforces housing laws like the Fair Housing Act

Note: The Fair Housing Act, Americans with Disabilities Act, and any laws passed by the HUD apply to landlords and tenants in all 50 states.

Managing Tenant Legal Disputes as a North Carolina Landlord

Dealing with legal disputes, whether you’re a landlord or a tenant, can become overwhelming and expensive. Enlisting legal assistance could help your chances of resolving your dispute.

Here are a few popular resources for North Carolina landlords and tenants who need legal help while navigating their disputes:

• Legal Aid of North Carolina: Provides support to North Carolinians who cannot afford an attorney.
• North Carolina Department of Justice: Government resources and information on landlord-tenant rights and responsibilities.
• North Carolina Housing Finance Agency: Offers guidance and resources to renters, including tenant rights and eviction prevention information.

Streamline Your Landlord-Tenant Relationship with TurboTenant

Navigating rights and responsibilities as a landlord can be challenging without the proper tools. Luckily, we built our property management software to help you:

• Screen prospective tenants and ensure non-discriminatory practices
• Generate rental applications to find ideal tenants
• Create North Carolina lease agreements with state-specific landlord disclosures
• Manage tenant maintenance requests to keep rental units safe and habitable
• Collect rent payments and assess late fees digitally
• Organize rental accounting and create detailed financial reports

Sign up for a free TurboTenant account today and see how our property management software can help put your landlord duties on autopilot.

Disclaimer: TurboTenant does not provide legal advice. This material has been prepared for informational purposes only. All users are advised to check all applicable local, state, and federal laws and consult legal counsel should questions arise.

North Carolina Landlord-Tenant Law FAQs