Renting out your property can be a great way to generate passive income, but it’s important to have a few things in place before you hand over the keys to a tenant. One of the most important documents you need is a lease agreement. This legally binding document outlines the terms of the tenancy and protects both you and your tenant.
If you’re a landlord in North Carolina, you’ll need to use a lease agreement that complies with state laws. Here’s an example of what a North Carolina lease agreement might look like.
Lease Agreement NC Example
This lease agreement (the “Agreement”) is entered into between [landlord name] (the “Landlord”) and [tenant name] (the “Tenant”) on 2024.
1. Property. The Landlord agrees to rent to the Tenant the property located at [address] (the “Property”).
2. Term. The term of the tenancy will begin on 2024 and end on 2024. If the Tenant stays on the Property past the end of the term without renewing the lease, the tenancy will become a month-to-month tenancy.
3. Rent. The Tenant agrees to pay the Landlord [rent amount] on the [due date] of each month. If the rent is not paid on time, the Tenant will be charged a late fee of [late fee amount]. If the rent is more than [number] days late, the Landlord may begin eviction proceedings.
4. Security Deposit. The Tenant agrees to pay a security deposit of [security deposit amount] before moving in. The security deposit will be used to cover any damages to the Property caused by the Tenant or to cover any unpaid rent or fees. If the Tenant leaves the Property in good condition and has paid all rent and fees, the security deposit will be returned.
5. Use of Property. The Tenant agrees to use the Property only as a residence and to comply with all laws and regulations relating to the use of the Property. The Tenant agrees not to disturb the peace and quiet of the other tenants in the building or the neighbors.
6. Repairs and Maintenance. The Landlord is responsible for maintaining the Property in a safe and habitable condition. The Tenant is responsible for keeping the Property clean and reporting any needed repairs to the Landlord in a timely manner. If the Tenant causes damages to the Property beyond normal wear and tear, the Tenant will be responsible for the cost of repairs.
7. Subletting. The Tenant agrees not to sublet the Property without the Landlord’s written consent.
8. Pets. The Tenant agrees not to keep any pets on the Property without the Landlord’s written consent.
9. Termination. Either party may terminate the tenancy upon [number] days’ written notice to the other party. The Tenant must remove all personal property and leave the Property in a clean and undamaged condition.
10. Governing Law. This Agreement will be governed by and construed in accordance with the laws of the State of North Carolina.
11. Entire Agreement. This Agreement represents the entire agreement between the Landlord and the Tenant and supersedes all prior negotiations, understandings, and agreements, whether written or oral.
12. Amendments. This Agreement may be amended only in writing signed by both the Landlord and the Tenant.
This example lease agreement is a starting point for creating your own document. You may need to adjust the terms to fit your specific situation or consult with a legal professional to ensure compliance with North Carolina landlord-tenant laws.
In conclusion, having a clear and comprehensive lease agreement is essential for any landlord. By using an example lease agreement as a starting point, you can create a legally binding document that protects both you and your tenants. Remember to consult with legal professionals as needed to ensure your agreement is compliant with state laws and fully protects your interests.