In North Dakota, not every residential rental agreement revolves around a standard 12-month commitment. Some situations simply require more adaptability than others, whether you’re renting their home to a college student or someone in town on a temporary work assignment. In these cases, a North Dakota month-to-month lease agreement may be the perfect solution for both landlords and their tenants.
Under this type of arrangement, tenants are tenants at will, as the lease automatically renews each month until one party gives notice to end the agreement. Although it is more flexible in its terms, a tenancy at will must still comply with all federal, state, and local laws. Below, we’ll break down everything landlords need to know about a North Dakota month-to-month lease agreement.
Disclosures (2)
There is certain information that North Dakota requires landlords to provide to their tenants when signing a lease.
- Lead-based paint: Federal law requires landlords to give tenants any known information about lead-based paint and its hazards in homes built before 1978. Landlords must also provide a copy of the EPA’s lead safety pamphlet.
- Move-in checklist: Landlords must give their tenants a checklist outlining the condition of the rental at move-in, including any existing damage or issues (N.D. Cent. Code § 47-16-07.2).
Optional Disclosures and Addenda
While they are not legally required, including these disclaimers and addenda helps prevent any confusion in their rental relationship.
Asbestos: Tells tenants about any known asbestos in the building and how to reduce associated risks.
Bed bugs: Informs tenants of any known or suspected bed bug infestations in the rental or adjacent units.
Landlord’s name and address: Shares the owner or landlord’s name and contact information with the tenant.
Late/returned check fees: Details the fees for late or returned rent checks. In North Dakota, there is no limit to how much landlords can charge as a late fee. Returned check fees, however, are capped at $40 per check (N.D. Cent. Code § 6-08-16).
Medical marijuana use: Explains the policy for using medical marijuana in the rental.
Mold disclosure: Discloses any known or suspected mold issues in the unit and also provides information on remediation.
Non-refundable fees: Lists any one-time, non-refundable fees associated with the rental.
Shared utilities: If any units share a utility meter, or if any units share a meter with a common area, it is a good idea to break down how landlords will divide and charge utilities.
Smoking: Outlines the smoking policy in the rental, including any designated smoking areas on the property.
Additional North Dakota Month-to-Month Lease Laws
North Dakota sets other rules for rental relationships. State law oversees everything from security deposits to required notice to terminate the lease.
Notice to Terminate a Month-to-Month Agreement
A North Dakota month-to-month lease agreement has no specified end date; therefore, it is especially important to provide proper notice to terminate the arrangement.
Required notice for tenant: Tenants must give at least 1 calendar month’s notice to terminate a North Dakota month-to-month lease agreement (N.D. Cent. Code § 47-16-15).
Required notice for the landlord: North Dakota landlords must also give at least 1 calendar month’s written notice to terminate a month-to-month lease (N.D. Cent. Code § 47-16-15).
Laws Governing Rent Increases
Rent control and stabilization do not exist in North Dakota. The Peace Garden State is landlord-friendly and requires only 30 days’ notice to the tenant before raising rent.
Lease Violations and Eviction
If their tenant violates any part of their lease, state law is clear on how landlords should respond.
Missed rent payment: If the tenant misses a rent payment, landlords may issue a 3-day Notice to Pay or Quit (N.D. Cent. Code § 47-32-01(4)).
Lease violation: For other lease violations, landlords may immediately issue a 3-day Notice to Quit (N.D. Cent. Code § 47-32-02).
Lease abandonment: If the tenant abandons their lease early, landlords can attempt to collect rent for the remainder of the lease term or until landlords re-rent the unit, whichever comes first (N.D. Cent. Code § 47-16-17.1(5)).
Self-help evictions: In North Dakota, self-help evictions are illegal. Landlords should never attempt to remove a tenant from the property on their own.
Rent Payment Laws
North Dakota also specifies how and when landlords can collect rent. Here’s what landlords need to know.
Rent control/stabilization: Rent control and stabilization do not exist at the state level in North Dakota. Landlords are allowed to increase the rent whenever they need and by however much they choose, as long as they give 30 days’ written notice to their tenant.
Late rent fees: There is no limit on what landlords can charge as a late fee; however, landlords clearly state the fee in their North Dakota month-to-month lease agreement template.
Grace period: There is no mandatory grace period for late rent in North Dakota.
Tenant’s right to withhold rent: If a landlord fails to make a necessary repair, North Dakota tenants can repair themselves and deduct the cost from a future rent payment. In some cases, they can also terminate their lease early without penalty (N.D. Cent. Code § 47-16-13).
Pet rent laws: Landlords may charge pet rent if their North Dakota month-to-month lease agreement clearly states it. Landlords can not charge pet fees for qualified service or assistance animals.
Security Deposits
Many North Dakota landlords collect an upfront security deposit from their tenants to help protect their investment against excessive damage or unpaid rent.
Maximum amount: In most cases, landlords can charge up to 1 month’s rent as a security deposit. However, if the tenant has a felony conviction or has a judgment for previously violating a lease, landlords can charge 2 months’ rent (N.D. Cent. Code § 47-16-07.1).
Deposit receipt: Landlords need not issue a receipt for their tenant’s security deposit payment in North Dakota.
Interest payments: North Dakota law says landlords must keep their tenant’s security deposit in an interest-bearing account and pay the interest to their tenant, for occupancies lasting 9 months or longer (N.D. Cent. Code § 47-16-07.1).
Security deposit return: Landlords must return their tenant’s security deposit, minus any deductions, within 30 days of lease termination (N.D. Cent. Code § 47-16-07.1(3)).
Deductions: If landlords deduct funds from the deposit, they must provide their tenant with a detailed list of the charges when they return the balance of the security deposit (N.D. Cent. Code § 47-16-07.1(3)).
Property Access Laws
In North Dakota, landlords must respect their tenants’ right to privacy. Here’s how to do that when landlords have to enter the property, whether for maintenance or an emergency.
Advance notice: North Dakota requires landlords to give tenants advance notice before entering the unit, and landlords may only enter at reasonable hours; however, there are no specific requirements for what constitutes reasonable hours. Generally, 24 hours’ notice is sufficient (N.D. Cent. Code § 47-16-07.3).
Immediate access: If there is an emergency, landlords may have immediate access to the property (N.D. Cent. Code § 47-16-07.3).
Harassment: Failure to follow these guidelines is often considered landlord harassment. If this happens, their tenant is often allowed to pursue damages or terminate their lease early.
