North Carolina Residential Lease Agreement

A North Carolina lease agreement is used to establish the terms and conditions that a landlord and tenant must follow in regard to a rental property. It is written in a way that complies with the laws of the state in which the property is located. 

Lease agreements are similar to rental agreements as they are both legally binding contracts that define the terms of use and payment plans for a property. However, a lease agreement typically covers long-term leases while a rental agreement deals with short-term tenancies.

The following information should be included in a North Carolina lease agreement. 

• Period of time in which the tenant can occupy the property

• Amount of rent that should be paid

• Details about security deposits 

• Frequency of rental payments

• Information about additional costs 

• Usage terms of the property 

• Eviction terms and procedures

There’s more than one type of lease agreement in North Carolina and selecting the correct one can be crucial. Each kind refers to a different type of property and/or rental situation. Therefore, you must create the right class of document, in order for your lease agreement to cover all the necessary terms.

The most common types of lease agreements in North Carolina include:

• Standard residential lease agreements: Both the landlord and tenant commit to a fixed set of terms for a set period of time. 

• Rent-to-own lease agreements: Designed for tenants that wish to buy the property they are renting during or after the lease has ended. This typically requires the tenants to pay an additional sum of money each month, to cover the principal costs.

• Month-to-month rental agreements: The same general terms as a standard residential lease contract, but they can be renewed, altered, or ended on a month-by-month basis.  

• Commercial lease agreements: Provided by landlords of retail property to tenants that will use the real estate to manage a business.

• Room rental agreements: Used for rooms within properties that have shared living areas. 

• Sublease Agreement: A North Carolina sublease agreement allows tenants to reassign or ‘sublease’ the property to another individual. This requires the property landlord’s permission and must be specifically allowed in the original lease.

Lease agreements need to include certain disclosures and addendums. These can vary significantly depending on the state in which the property is located. The following overview contains all the essential addendums for North Carolina lease agreements: 

These essential addendums include the following: 

North Carolina lease agreements must be written according to the laws of NC state, to ensure that they are legally binding and hold up in court. These regulations will determine what terms you must include in the contract.  

The most relevant laws to take into consideration when renting a property in North Carolina are:

• Security deposits: North Carolina landlords may charge no more than two months’ rent for fixed-term leases and a maximum of 1 months’ rent for month-to-month tenancies. This must be returned to the tenant within 30 days of vacating the property and returning the keys. Landlords may also provide a written notice extending this a further 30 days if repair estimates need to be made. 

• Landlord’s right to enter: Landlords can enter the rental property without giving advance notice. However, it is recommended to give at least 24 hour’s notice to the tenant as a courtesy.

Before beginning the process of creating a residential lease agreement in North Carolina it is sensible to review an example document first. Use our North Carolina lease agreement sample below to find out more about the structure and contents of a fully-fledged rental contract.

Besides lease agreements, there are various other legal documents that are commonly used by landlords. If you are the owner of a rental property, one of the following forms may be helpful for you: 

• North Carolina rental application

• North Carolina eviction notice