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North Carolina security deposit law
Short answer: A North Carolina landlord has 30 days after the tenancy ends to return the deposit with an itemized list of damage. If the full damage can't be figured out by then, an interim accounting is due at 30 days and a final one within 60. Deposits are capped based on the lease type.
| Deadline to return the deposit | 30 days after the tenancy ends and the landlord gets the unit back. If the claim can't be determined by then, the landlord must send an interim accounting within 30 days and a final accounting within 60 days. |
|---|---|
| Limit on how much a landlord can charge | Two weeks' rent for week-to-week tenancies, one and a half months' rent for month-to-month, and two months' rent for longer leases. |
| Itemized list of deductions | Yes. The landlord must itemize any damage in writing and mail or deliver it with the balance of the deposit. |
| Interest on the deposit | Not required. The deposit must be kept in a trust account at a licensed, insured bank (or covered by a bond), and the tenant must be told within 30 days of the lease start where it's held. |
| Penalty if the landlord breaks the rules | A landlord who willfully breaks the deposit, bond or notice rules loses the right to keep any of the deposit. The tenant can also recover damages, and the court may award attorney's fees for willful violations. |
| What the tenant has to do | Leave a forwarding address. If the landlord can't find the tenant, the balance is held for at least six months for the tenant to collect. |
| The law | North Carolina General Statutes, Chapter 42, Article 6 (Tenant Security Deposit Act, G.S. 42-50 to 42-56) |
Official law: North Carolina General Statutes, Chapter 42, Article 6 (Tenant Security Deposit Act, G.S. 42-50 to 42-56). Checked against the statute on 2026-11-04.
Good to know
- Deposits can only cover specific things: unpaid rent and certain utilities, damage (including to smoke and carbon monoxide alarms), breaking the lease early, unpaid bills that become a lien, re-renting costs after a breach, removing and storing belongings after an eviction, court costs, and certain permitted fees.
- Normal wear and tear can't be deducted, and the landlord can't keep more than the actual damages.
- A landlord may charge a reasonable nonrefundable pet fee.
Tips for landlords
- Do a written move-in inspection and have the tenant sign it. Take dated photos of every room, including inside appliances and closets.
- Collect the tenant's forwarding address in writing at move-out.
- Put the itemized list and the refund in the mail well before the deadline, and keep proof of mailing.
- Normal wear and tear (faded paint, light carpet wear, small nail holes) usually can't be charged. Damage beyond that can.
Tips for tenants
- Take your own dated photos and video on move-in day and move-out day.
- Give your landlord your forwarding address in writing, and keep a copy.
- If the deadline passes, send a written demand letter that cites the law above before going to small claims court.
Common questions
How long does a landlord have to return a security deposit in North Carolina?
30 days after the tenancy ends and the landlord gets the unit back. If the claim can't be determined by then, the landlord must send an interim accounting within 30 days and a final accounting within 60 days.
Is there a limit on security deposits in North Carolina?
Two weeks' rent for week-to-week tenancies, one and a half months' rent for month-to-month, and two months' rent for longer leases.
Does a landlord in North Carolina have to itemize deductions?
Yes. The landlord must itemize any damage in writing and mail or deliver it with the balance of the deposit.