At a Glance
| Question | Answer | Details |
|---|---|---|
| Security deposit limit? | 2 months' rent | 1.5 months for month-to-month tenancies |
| Rent control? | No | No statewide or local rent control laws |
| Required notice to raise rent? | No statute | Reasonable notice implied; varies by lease terms |
| Lease required in writing? | Yes, for leases > 12 months | Month-to-month can be oral |
| Landlord entry notice? | No statute | Reasonable notice implied by courts |
Security Deposits
North Carolina's Tenant Security Deposit Act governs the collection, holding, and return of security deposits.
Landlords may charge up to two months' rent for leases of fixed terms, or one and a half months' rent for month-to-month tenancies. Pet deposits are allowed in addition to the security deposit but are limited to a reasonable, nonrefundable amount.
Landlords must hold the deposit in a trust account at a licensed and insured bank or savings institution in North Carolina, or furnish a bond from an insurance company licensed to do business in the state. Landlords must notify tenants within 30 days of the beginning of the lease of the name and address of the bank where the deposit is held.
Landlords must return the deposit within 30 days of the tenant vacating the unit, along with an itemized statement of any deductions.
cite: N.C. Gen. Stat. § 42-50 et seq.
Eviction Procedures
North Carolina requires landlords to follow specific legal procedures to evict a tenant. Self-help evictions (changing locks, shutting off utilities, removing belongings) are illegal.
Notice Requirements
- 10-Day Demand for Rent: For nonpayment of rent, landlord must serve a written demand giving the tenant 10 days to pay or vacate
- Lease Violation: Landlord must provide notice specifying the violation; if the lease allows, the landlord may terminate with as little as 10 days' notice for material breaches
- Month-to-Month Termination: 7 days' notice to terminate a month-to-month tenancy
- Week-to-Week Termination: 2 days' notice to terminate a week-to-week tenancy
North Carolina does not have a general just cause eviction requirement. Landlords may terminate month-to-month tenancies for any lawful reason with proper notice.
Rent Control
North Carolina does not have any form of rent control. There are no statewide or local laws that cap rent increases. Landlords may raise rent by any amount with proper notice, subject to the terms of any existing lease agreement.
North Carolina has not enacted rent control preemption legislation, but no municipality has enacted rent control ordinances.
cite: N.C. Gen. Stat. § 42-14.1
Lease Agreements
North Carolina does not require a written lease for tenancies of 12 months or less. However, any lease for longer than 12 months must be in writing to be enforceable under the Statute of Frauds.
Required Disclosures
North Carolina landlords must provide the following disclosures:
- Lead-based paint (pre-1978 properties)
- Security deposit: Name and address of the bank or institution where the deposit is held
- Material facts: Any material health or safety issues known to the landlord
- Synthetic stucco (EIFS): Disclosure if the property has synthetic stucco exterior
Tenant Rights
North Carolina provides the following protections for tenants:
- Habitability: Landlords must maintain rental units in a fit and habitable condition, complying with applicable building and housing codes that materially affect health and safety
- Retaliation protection: Landlords cannot retaliate against tenants who exercise their legal rights, such as complaining to government agencies about code violations, within 12 months of the protected activity
- Discrimination protection: The North Carolina Fair Housing Act prohibits discrimination based on race, color, religion, sex, national origin, familial status, and disability
- Right to privacy: Although no specific statute mandates a notice period, courts have held that landlords must provide reasonable notice before entering a tenant's unit
- Domestic violence protections: Victims of domestic violence may terminate leases early under certain conditions