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Lease Agreement North Carolina

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North Carolina Landlord-Tenant Laws

Here’s an overview of some key Landlord-Tenant laws that NC Landlords should know.

Category	State Law
Ending and Renewing North Carolina Law	Week-to-Week: Lease may be terminated by notice 2 days before the end of the current week of the tenancy. Month-to-Month: Lease may be terminated by notice 7 days before the end of the current month of tenancy. Year-to-Year: Lease may be terminated by written notice 30 days before the end of the current term of the tenancy.
Security Deposit North Carolina Law	Security Deposits may not exceed the following amounts: If rent is collected every week, the Landlord can require an amount equal to 2 weeks’ rent. If rent is collected monthly, the Landlord may require an amount equal to 1 and a 1/2 month’s rent. If there is a Lease for more than a month, the Landlord may require an amount equal to 2 months. The Landlord must give the Tenant written notice of the name of the bank that is holding the Tenant’s security deposit or the name and address of the insurance company providing a bond to cover the security deposit. Pet Deposits: Landlords may charge a reasonable, non-refundable fee for pets kept by occupants on the premises. § 42-53
Returned Payment Fee North Carolina Law	Fees for bounced checks/declined payments may not exceed $25. N.C. Gen. Stat. § 25-3-506
Late Fee Carolina Law	Once a rental payment is 5 or more days late, a Landlord may assess a late fee that may not exceed $15 or 5% of the rental payment, whichever is greater.
Insurance Requirements North Carolina Law	Landlords may require Tenants to obtain renter’s insurance and could make the failure to do so a breach of the Lease.
Notice to Enter North Carolina Law	North Carolina doesn’t have a notice requirement, but we always recommend giving at least 24 hours notice before entering the premises for non-emergencies.
Landlord Requirements North Carolina Law	Smoke Detectors: The Landlord shall provide operable smoke detectors and shall replace or repair the smoke detectors within 15 days of written notification from the Tenant. The Landlord shall ensure that a smoke detector is operable and in good repair at the beginning of each Tenancy. Unless the Landlord and the Tenant have a written agreement to the contrary, the Landlord shall place new batteries in a battery-operated smoke detector at the beginning of a tenancy and the Tenant shall replace the batteries as needed during the tenancy. Carbon Monoxide Detectors: Landlords shall provide a minimum of one operable carbon monoxide detector per rental unit per level.

Contact your local housing or zoning office to be sure your rental property complies with city and county requirements for inspections, rent control, occupancy limits, property codes, and zoning. Many cities and counties require inspections, registrations and have specific maintenance regulations.

Required Disclosures

• Lead-Based Paint Disclosure: Pursuant to federal law, if the leased premises was constructed prior to 1978, the Landlord must provide all Tenants with the Lead-Based Paint EPA Disclosure and the Lead-Based Paint EPA Pamphlet.
• Security Deposit Receipt: Within thirty (30) days of receiving the security deposit, the Landlord must provide the Tenant with the name and address of the financial institution where the security deposit is being held. It must either be located in a trust account in a licensed financial institution in North Carolina OR the Landlord must obtain a bond for the security deposit amount from a licensed insurance company. N.C. Gen. Stat. § 42-50.

Frequently Asked Questions (FAQs)

Does a Lease have to be notarized in North Carolina?

No. To be legally binding, a North Carolina Lease Agreement just needs to be signed by both parties. This means as long as the Landlord, or Lessor, and Tenant, or Lessee, have signed it, it is fully executed and legally binding.

What is the North Carolina Residential Rental Agreement Act?

The North Carolina Residential Rental Agreement Act provides the basic rights and responsibilities of Landlords and Tenants. Pursuant to the Act, Landlords must keep the rental property fit and safe, and Renters must pay rent, keep the home clean, and not damage the property in any way.

How much notice does a Landlord have to give a Tenant to move out in NC?

The amount of notice required depends on the Lease term. For month-to-month Lease Agreements, Landlords must give Tenants at least 7-days notice of nonrenewal. For year-to-year Leases, Landlords must provide written notice of non-renewal at least 30 days before the end of the Tenancy.

Do I need a North Carolina Lease Agreement?

If you rent real estate in North Carolina, you should always have a Lease Agreement. Should problems arise with the property or the Tenant, it’s the Lease that will protect you. Once you give Tenants the keys to your property, they have legal possession. So it’s vital to have a good Lease in place before you do that!

This is true for all types of rental properties, including apartments, duplexes, condos, and single-family homes.

What’s the standard length of a NC Lease?

The standard length of a NC Lease term is one year. However, longer or shorter periods are also common. It’s the Lease that will outline the length of the tenancy as well as any specifics for renewal or Lease termination.

Short-term Leases - like month-to-month or vacation rentals - are also common. The length of the Tenancy is just one more vital term to include in your agreement.

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North Carolina Rental Forms and Templates

We understand that you need more than just a great Lease Agreement, that’s why we have forms for the entire Landlord Lifecycle.

• Rental Application: You should always screen Applicants. Effective screening includes a thorough Rental Application, a credit history report, a criminal background report, and an eviction history. See sample reports here or start your screening. Pro Tip: Our Rental Application is free to use!
• Tenant Welcome Letter: Effectively communicate with Tenants from day 1 with this customizable letter to provide all information Tenants need to take great care of your property!
• Move-In/Move-Out Checklist: This fillable form makes it simple and EZ to document the condition of your property at move in and move out. This is particularly important should you need to withhold some of the security deposit. EZ to download and to print!
• Rent Ledger: This form makes it EZ for Landlords to keep up with and document all rent payments. Just download and print out the blank rent ledger and keep it updated to stay organized and on top of all rent payments.
• North Carolina 10-Day Demand for Rent: This form is for Tenants that are behind on rent. It must be used before initiating eviction proceedings.
• North Carolina 10-Day Demand for Compliance: This form should be used for Tenants that break the Lease Agreement for reasons other than nonpayment of rent. This notice must be issued for Lease violations before eviction proceedings can be initiated.
• North Carolina Complaint in Summary Ejectment: After issuing the proper eviction Notice, Landlords use this form to start the eviction process in a North Carolina court.
• North Carolina Information Pamphlet for Landlords & Tenants: This form outlines the rights of Landlords and Tenants and is a good resource for NC Landlords!

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