Maximum security deposit under § 42-51(b).
Maximum security deposit under § 42-51(b).
Maximum security deposit for longer rental terms.
The landlord may not withhold deposit money for conditions due to normal wear and tear.
Where the deposit must be held
The landlord generally must place the deposit in a qualifying trust account or furnish a bond from a licensed insurance company. The tenant must be notified within 30 days after the lease begins of the bank/institution or bonding company information.
What the deposit can cover
- Nonpayment of rent and specified utility costs.
- Damage to the premises.
- Certain losses from nonfulfillment of the rental period.
- Qualifying unpaid bills, re-renting costs, property-removal/storage costs, court costs and permitted fees listed by statute.
After move-out
The landlord must provide the written accounting and balance within 30 days after termination and delivery of possession. If the claim cannot reasonably be determined by then, an interim accounting is due by day 30 and the final accounting is due within 60 days.
Official sources
Primary statute for trust-account/bond handling and the landlord’s 30-day notice of where the deposit is held or bonded.
North Carolina General AssemblyN.C.G.S. § 42-51 — Permitted uses and deposit limits ↗Primary statute listing permitted deposit uses and the week-to-week, month-to-month and longer-term caps.
North Carolina General AssemblyN.C.G.S. § 42-52 — Landlord obligations ↗Primary statute for the 30-day itemization/refund rule, interim accounting, final 60-day accounting and ordinary-wear limitation.