The North Carolina month-to-month rental agreement is a written document that allows a tenant to rent property from a landlord, in exchange for a fee, for a period of thirty (30) days. This document has no end date but enables either party to alter or terminate the agreement monthly.
Fixed-term leases are convenient because rent increases can only come at the end of a lease, but sometimes, a one- or two-year rental can be somewhat inconvenient, especially a tenant is only going to be in an area for a limited period. In these circumstances, a month-to-month rental agreement really shines because these have a span of a single month and will renew perpetually until a renter or his or her landlord wishes the tenancy to end. In North Carolina, a month-to-month tenancy is perfect for those that need a little freedom or for landlords that only wish to rent for certain periods of the year.
North Carolina Requirements for a Month-to-month Lease Termination
When it comes to the notice period for ending a month-to-month tenancy, North Carolina is relatively unique. Unlike other states which typically have a 30- to 60-day notice period, North Carolina only has a seven-day requirement for notice (North Carolina General § 42-14). This notice period is for both the lessor and the lessee, so a relatively brief time period is required. Additionally, if the lease establishes shorter or longer notice requirements, then this is allowable by state law.
Raising the Rent in North Carolina
It’s important to note that since there are no rent-controlled communities in the state of North Carolina, a landlord may raise rents at his or her own discretion. Additionally, there’s no state-prescribed period in which a landlord must provide notice when intending to raise the rent or amend terms in a month-to-month agreement outside of the notice period in which the termination letter must be furnished. This means that a landlord may increase the rent of a unit for an at-will tenancy with a notice of seven days. This differs with a fixed-term lease since a landlord may not legally raise rents until a new lease term begins.