Under North Carolina law, if a written or oral rental agreement exists, or if payment is accepted as rent, landlords and tenants have automatic rights and responsibilities under NC General Statutes Chapter 42, such as the right to timely rent payments and a livable dwelling.
Tenant Responsibilities
Evictions
Security Deposits
Lease Termination
Rent Increases
Discrimination
Landlord Entry
Note: These rights exist regardless of what the rental agreement says.
Landlord Responsibilities in North Carolina
In North Carolina, landlords legally can’t rent property out unless it meets basic health and safety requirements. Here is a list of amenities and how they relate to North Carolina’s habitability requirements:
| Item | Has to Provide? | Has to Fix/Replace? |
|---|---|---|
| Heating/AC | Only Heating | Only If Provided |
| Hot Water | No | Only If Provided |
| Kitchen Appliances | No | Only If Provided |
| Garbage Containers/Removal | No | No |
| Smoke and Carbon Monoxide (CO) Detectors | Yes | Yes |
| Mold | N/A | Yes |
| Pest Control | N/A | Yes |
If a property doesn’t provide the legally required amenities for habitable housing, a tenant can usually report the landlord to government authorities for unsafe living conditions.
Renter’s Rights for Repairs in North Carolina
Landlords are required to make necessary repairs in a timely manner. In North Carolina, repairs must be made within a “reasonable time” after getting written notice from tenants.
If repairs aren’t made in a timely manner, North Carolina tenants can sue for costs and rent abatement, or a court order to force the landlord to make repairs. They usually can’t repair and deduct, or withhold rent without a court order.
Tenant Responsibilities in North Carolina
Aside from paying rent in a timely manner, North Carolina tenants must:
- Comply with all building and housing codes.
- Maintain a safe and habitable condition in the property.
- Dispose of all waste in a clean and safe manner.
- Keep fixtures and other components clean and sanitary.
- Inform the landlord in writing of any replacement of or repairs to the smoke detector or carbon monoxide detector.
- Not unreasonably disturb neighbors or other tenants.
- Not deliberately or negligently destroy or damage any part of the premises.
Evictions in North Carolina
North Carolina tenants can be evicted for a number of reasons. The most common reasons for eviction in North Carolina are:
- Nonpayment of Rent: If a North Carolina tenant does not pay rent when it’s due, landlords may issue a 10-day Notice to Quit. If the tenant does not pay within 10 days, landlords can pursue legal eviction.
- Violation of Lease Terms: If a North Carolina tenant violates the terms of their lease agreement, then landlords may proceed with an eviction lawsuit and without any prior notice.
- No Lease/End of Lease: If a tenant stays in the rental unit after the rental term has ended, the landlord can issue a Notice to Quit. The amount of time required in the notice depends on the type of tenancy.
- Week-to-Week: 2-Day Notice to Quit.
- Month-to-Month: 7-Day Notice to Quit.
- Year-to-Year: 30-Day Notice to Quit.
- Manufactured Home – Regardless of how long a tenant has occupied the rental space of a manufactured home, landlords must provide tenants with a 60-Day Notice to Quit.
- Illegal Acts: Landlords do not need to give a tenant prior notice before beginning an eviction suit. Illegal activity includes criminal activity that affects the health, safety, or peaceful enjoyment of other tenants or illegal use, possession or manufacture of a controlled substance.
Landlords are prohibited from evicting tenants in retaliation or as a form of discrimination.
Landlord Retaliation in North Carolina
It’s illegal for North Carolina landlords to attempt eviction of a tenant as retaliation for protected actions like reporting a landlord to government authorities for health and safety violations. Tenants get protection from retaliatory eviction for 12 months after they take a qualifying action.
Security Deposits in North Carolina
Collections & Holdings: The following laws apply to the collection and holding of security deposits:
- Maximum: Depends on the lease term:
- Week-to-week: 2 weeks’ rent.
- Month-to-month: 1½ months’ rent.
- Longer than month-to-month: 2 months’ rent.
- Inventory Requirement: Landlords are not required to document the condition of the rental unit at the start of the lease term in order to collect security deposits.
- Holding Requirement: Landlords must hold security deposits in a trust account or post a surety bond.
- Interest Requirement: None.
Returns & Deductions: The following laws apply to the return of security deposits:
- Allowable Deductions: Unpaid rent, utilities, late fees, damage, costs of early termination or breach of the lease, court costs, and removal and storage of belongings.
- Time Limit for Return: 30 days.
- Max. Penalty for Late Return: Tenants can sue for the amount due plus attorneys’ fees.
Lease Termination in North Carolina
Notice Requirements: North Carolina tenants are entitled to a notice of lease termination in advance.
| Rent Payment Frequency | Notice Needed |
|---|---|
| Week-to-Week | 2 Days |
| Month-to-Month | 7 Days |
| Quarter-to-Quarter | No statute |
| Year-to-Year | 30 Days |
Early Termination: Tenants can legally terminate a lease in North Carolina for the following reasons:
- Early termination clause in the lease.
- Active military duty.
- Habitability violation.
- Landlord harassment.
- Lease agreement violation.
Cost of Breaking a Lease in North Carolina
If a North Carolina tenant breaks their lease early, they are still liable for the rent for the remaining lease period. Landlords are legally required to make a reasonable effort to re-rent the unit, and if they find a new tenant, the original tenant is then no longer liable to pay all remaining rent.
Landlords cannot keep the full security deposit because a tenant broke their lease. The landlord can make deductions for damages or unpaid rent, but the rest must be returned to the tenant.
Rent Increases in North Carolina
North Carolina does not have rent control and state law prohibits cities and towns from creating their own rent control laws.
Because North Carolina does not have rent control, landlords can raise the rent by any amount, as often as they choose, as long as they avoid discrimination and do not increase the rent during the lease term.
North Carolina state law does not specify how much notice landlords must give before raising the rent. Landlords and tenants can agree on a minimum notice period for a rent increase in the lease agreement.
Housing Discrimination in North Carolina
Protected Groups: North Carolina landlords are prohibited from discriminating against classes outlined in the Federal Fair Housing Act. This law does not apply to some owner-occupied homes, buildings with 4 or fewer units, and homes operated by religious organizations.
Discriminatory Acts & Penalties: Discrimination complaints in housing are handled by the North Carolina Office of Administrative Hearings’ Civil Rights Division. The following practices could be considered discriminatory:
- Refusing to rent or sell on a bona fide offer.
- Refusing to make reasonable accommodations.
- Providing different terms, conditions, or privileges.
- Falsely claiming a unit is unavailable.
- Advertisements that imply a preference for or against certain types of tenants.
- Encouraging tenants to move based on perceived changes in neighborhood demographics.
Additional Landlord Tenant Regulations in North Carolina
In addition to having laws that address general issues like repairs and security deposits, most states, including North Carolina, grant rights and responsibilities about things like lock changes and a landlord’s right to entry. See the topics below for more information.
Landlord Right to Entry in North Carolina
North Carolina law doesn’t specifically outline access rights for landlords and tenants. This means landlords can enter rental property without notice for reasonable purposes, unless lease terms say otherwise. Landlords can also enter without permission in emergency situations.
Rent Collection & Related Fees in North Carolina
The following laws apply to the collection of rent and related fees:
- Grace Period: Landlords are required to provide a five-day grace period for the payment of rent before charging a late fee.
- Maximum Late Fee: Late fees cannot exceed:
- $15 or 5% of a monthly payment, whichever is greater.
- $4 or 5% of a weekly payment, whichever is greater.
- Rent Payment Methods: There is no state law governing which payment methods landlords may or may not accept for the payment of rent.
- Rent Receipt: Not required.
Small Claims Court in North Carolina
Most disputes between landlords and tenants are handled in Small Claims Court, which is an informal process designed to be quicker and simpler than higher courts. For example, disputes regarding the return of security deposits are typically handled in Small Claims Court.
Landlords and tenants can file cases in Small Claims Court to settle minor disputes without hiring an attorney. Small claims in North Carolina cannot exceed $5,000 to $10,000 depending on the court. North Carolina Small Claims Court is a division of District Court. The process takes approximately one to two months.
Mandatory Disclosures in North Carolina
North Carolina landlords are required to make these mandatory disclosures to tenants:
- Lead-Based Paint: Houses built after 1978 must disclose the concentrations of lead in paints and finishes.
- Late Fees: Any late fee must be disclosed in the lease agreement to be enforceable.
- Water Contamination: The landlord must disclose and provide notice of contaminant levels exceeding the guidelines provided by the state.
- Security Deposits: When collecting a security deposit, the landlord must disclose the name and address of the bank or institution where the tenant’s deposit is currently located or the name of the company providing the bond.
Changing the Locks in North Carolina
North Carolina generally does not have legal rules regarding whether tenants or landlords can change locks. However, domestic violence victims may request a lock change within 48 hours if the abuser lives in the same dwelling. If the landlord does not comply, victims are allowed to change locks on their own, provided they give the landlord a new key within 48 hours.
North Carolina landlords are forbidden from changing tenant locks to retaliate against a tenant or as a form of “self help” eviction.
How to Report a North Carolina Landlord for Unsafe Living Conditions
When a North Carolina landlord fails to keep a rental property in the condition required by state and local law, renters have the right to report such violations to the proper government organizations. Most areas have dedicated inspections departments which enforce code compliance. Renters can request an inspection from such local authorities as evidence that the landlord has provided substandard housing.
Local Laws in North Carolina
Many cities in North Carolina have their own landlord-tenant laws in addition to the state requirements. Check your local county and municipality for additional landlord tenant regulations.
Charlotte
The City of Charlotte has a minimum housing code that goes beyond the state’s habitability requirements. New Charlotte law strengthens the enforcement of code violations.
Durham
Local ordinances in Durham impose additional legal responsibilities on property owners, including setting reasonable occupancy limits and tougher standards for rat-proofing. There are also local ordinances on trash collection and disposal.
