Below you will find a portion of the North Carolina Vacation Rental Act, the purpose of which is to "enact laws regulating the competing interests of landlords, real estate brokers, and tenants" in regards to the vacation rental industry in North Carolina. Sun Realty is happy to make this information readily available to our guests. To view the Act in its entirety, go to http://www.ncvrma.com/ncvrma-info.htm.
Sun Realty's Outer Banks vacation rentals fall under the juristiction of the North Carolina Real Estate Commission and North Carolina real estate laws and legislation. Your Vacation Lease Agreement is subject to the terms and considerations of the NC Vacation Rental Act. The terms of the NC Vacation Act are shown below. For the purposes of your Sun Realty vacation, the terms Guest and Tenant are interchangeable.
Article 1. Vacation Rentals.
This Chapter shall be known as the North Carolina Vacation Rental Act. (1999‑420, s. 1.)
42A‑2. Purpose and scope of act.
The General Assembly finds that the growth of the tourism industry in North Carolina has led to a greatly expanded market of privately owned residences that are rented to tourists for vacation, leisure, and recreational purposes. Rental transactions conducted by the owners of these residences or licensed real estate brokers acting on their behalf present unique situations not normally found in the rental of primary residences for long terms, and therefore make it necessary for the General Assembly to enact laws regulating the competing interests of landlords, real estate brokers, and tenants. (1999‑420, s. 1.)
42A‑3. Application; exemptions.
(a) The provisions of this Chapter shall apply to any person, partnership, corporation, limited liability company, association, or other business entity who acts as a landlord or real estate broker engaged in the rental or management of residential property for vacation rental as defined in this Chapter.
(b) The provisions of this Chapter shall not apply to:
(1) Lodging provided by hotels, motels, tourist camps, and other places subject to regulation under Chapter 72 of the General Statutes.
(2) Rentals to persons temporarily renting a dwelling unit when traveling away from their primary residence for business or employment purposes.
(3) Rentals to persons having no other place of primary residence.
(4) Rentals for which no more than nominal consideration is given. (1999‑420, s. 1.)
The following definitions apply in this Chapter:
(1) Real estate broker. - A real estate broker as defined in G.S. 93A‑2(a).
(2) Residential property. - An apartment, condominium, single‑family home, townhouse, cottage, or other property that is devoted to residential use or occupancy by one or more persons for a definite or indefinite period.
(3) Vacation rental. - The rental of residential property for vacation, leisure, or recreation purposes for fewer than 90 days by a person who has a place of permanent residence to which he or she intends to return.
(4) Vacation rental agreement. - A written agreement between a landlord or his or her real estate broker and a tenant in which the tenant agrees to rent residential property belonging to the landlord for a vacation rental. (1999‑420, s. 1.)
42A‑5 through 42A‑9. Reserved for future codification purposes.
Article 2 - Vacation Rental Agreements.
§ 42A‑10. Written agreement required.
(a) A landlord or real estate broker and tenant shall execute a vacation rental agreement for all vacation rentals subject to the provisions of this Chapter. No vacation rental agreement shall be valid and enforceable unless the tenant has accepted the agreement as evidenced by one of the following:
(1) The tenant's signature on the agreement.
(2) The tenant's payment of any monies to the landlord or real estate broker after the tenant's receipt of the agreement.
(3) The tenant's taking possession of the property after the tenant's receipt of the agreement.
(b) Any real estate broker who executes a vacation rental agreement that does not conform to the provisions of this Chapter or fails to execute a vacation rental agreement shall be guilty of an unfair trade practice in violation of G.S. 75‑1.1, and shall be prohibited from commencing an expedited eviction proceeding as provided in Article 4 of this Chapter. (1999‑420, s. 1.)
42A‑11. Vacation rental agreements.
(a) A vacation rental agreement executed under this Chapter shall contain the following notice on its face which shall be set forth in a clear and conspicuous manner that distinguishes it from other provisions of the agreement: "THIS IS A VACATION RENTAL AGREEMENT UNDER THE NORTH CAROLINA VACATION RENTAL ACT. THE RIGHTS AND OBLIGATIONS OF THE PARTIES TO THIS AGREEMENT ARE DEFINED BY LAW AND INCLUDE UNIQUE PROVISIONS PERMITTING THE DISBURSEMENT OF RENT PRIOR TO TENANCY AND EXPEDITED EVICTION OF TENANTS. YOUR SIGNATURE ON THIS AGREEMENT, OR PAYMENT OF MONEY OR TAKING POSSESSION OF THE PROPERTY AFTER RECEIPT OF THE AGREEMENT, IS EVIDENCE OF YOUR ACCEPTANCE OF THE AGREEMENT AND YOUR INTENT TO USE THIS PROPERTY FOR A VACATION RENTAL."
(b) The vacation rental agreement shall contain provisions separate from the requirements of subsection (a) of this section which shall describe the following as permitted or required by this Chapter:
(1) The manner in which funds shall be received, deposited, and disbursed in advance of the tenant's occupancy of the property.
(2) Any processing fees permitted under G.S. 42A‑17(c).
(3) The rights and obligations of the landlord and tenant under G.S. 42A‑17(b).
(4) The applicability of expedited eviction procedures.
(5) The rights and obligations of the landlord or real estate broker and the tenant upon the transfer of the property.
(6) The rights and obligations of the landlord or real estate broker and the tenant under G.S. 42A‑36.
(7) Any other obligations of the landlord and tenant. (1999‑420, s. 1.)
42A‑12 through 42A‑14. Reserved for future codification purposes.
Article 3 - Handling and Accounting of Funds.
42A‑15. Trust account uses.
A landlord or real estate broker may require a tenant to pay all or part of any required rent, security deposit, or other fees permitted by law in advance of the commencement of a tenancy under this Chapter if these payments are expressly authorized in the vacation rental agreement. If the tenant is required to make any advance payments, other than a security deposit, whether the payment is denominated as rent or otherwise, the landlord or real estate broker shall deposit these payments in a trust account in an insured bank or savings and loan association in North Carolina no later than three banking days after the receipt of the these payments. These payments deposited in a trust account shall not earn interest unless the landlord and tenant agree in the vacation rental agreement that the payments may be deposited in an interest‑bearing account. The landlord and tenant shall also provide in the agreement to whom the accrued interest shall be disbursed. (1999‑420, s. 1.)