A month-to-month lease agreement is a contract that allows property owners to rent out a rental unit to tenants on a monthly basis.
This document does not have a fixed termination date. Therefore, the month-to-month lease renews at the end of each month when the tenant pays rent.
Do you want to know more about how North Carolina laws regulate month-to-month lease agreements? Read on to find the information you were looking for!
How Do They Work?
This rental contract legally binds landlords and tenants, so both parties have rights and obligations during the lease term.
Also, since this lease sets a fixed termination date, tenants and landlords can end the lease by sending a 7 days' notice to the other party.
If you plan to draft a legal month-to-month lease agreement in North Carolina, you must include the following disclosures:
- Lead-based Paint Disclosure: Landlords must disclose whether this toxic paint may be present in the unit if it was built before 1978.
- Late Fees: North Carolina property owners cannot enforce fees for late payments unless those fees comply with state regulations. Also, they must be disclosed to lessees in the original rental contract.
- Security Deposit Disclosure: In North Carolina, landlords must disclose information about the bank where the tenant's security deposit is stored, including its name and address.
When Should Landlords Serve Notices?
Under North Carolina law, either the landlord or the tenant can terminate a month-to-month lease agreement. Both parties are required to serve a 7 days' written notice to do so. This document must be delivered in written form.
Can a Landlord Evict Month-to-Month Tenants?
North Carolina also allows landlords to evict tenants for several reasons, including failure to pay rent on time. However, they must comply with local eviction laws.
Also, when it comes to month-to-month lease agreements, eviction is only possible after landlords send the proper notice.
If the tenant does not vacate the property after the period expires, landlords can start the eviction process by filing a complaint with the applicable county court. It can take one to two months or a little longer in some cases.
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Should I Send a Notice Before Raising the Rent?
North Carolina does not have rent-controlled communities. Therefore, landlords can raise the rent at any time.
Furthermore, this state does not have any statute on the minimum notice period for a rent increase. However, property owners are advised to provide prior written notice to tenants.
How Do You Renew a Month-to-Month Lease Agreement in North Carolina?
In North Carolina and other states, month-to-month lease agreements are renewed each time the tenant pays rent.
Should Landlords Screen New Tenants?
Although not mandatory, landlords should screen a new tenant to avoid future evictions and legal trouble.
Can I customize my own form or agreement?
Yes, you always can, however if you want to be 100% sure you are protected, you should consult an attorney in your local area.