North Carolina has many rules and statutes regulating its housing market. These must be fully considered when preparing an application for rental properties in the state.
There is no limit in terms of what application fee can be charged by North Carolina landlords. Furthermore, the application fee is non-refundable regardless of its amount.
According to North Carolina General Statutes Chapter 42, Sections 50-56 NC landlords may not charge more than 2 weeks’ rent for week-to-week tenants and 1 and a half months’ rent for a month-to-month tenancy. However, for longer-term leases, you can charge up to 2 months’ rent as a deposit.
It is also necessary to inform the tenant of the name and address of the bank or financial institution where the deposit will be held. This must be done within 30 days of when the lease will begin.
Housing Discrimination Law
In North Carolina, there is no specific state law relating to housing discrimination. However, the Fair Housing Act (FHA) is in place. The FHA states that it is illegal to discriminate based on the following characteristics:
As a consequence, you are not allowed to ask for any of these details on a North Carolina Rental Application form nor to include them in the decision-making process.
Notice of Eligibility
Potential tenants must be informed about the screening criteria and reasons for denial or approval. To prove that these facts were shared, a signature of acknowledgment must be provided within the application or alongside it.
Consent Credit Check
Within North Carolina, federal law is in effect that requires potential renters to provide written consent for a credit history check during the application process. This is known as the Federal Credit Reporting Act (FCRA).