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North Carolina Fair Housing Act: An Overview

Key Takeaways

  • The Fair Housing Act prohibits discrimination in housing based on protected characteristics such as race, religion, sex, disability, and familial status.
  • Landlords must treat all applicants equally during advertising, screening, leasing, and tenant interactions.
  • Tenants with disabilities may be entitled to reasonable accommodations and reasonable modifications.
  • Consistent documentation and standardized procedures help landlords stay compliant and reduce the risk of fair housing violations.

Real Property Management Raleigh has put together this article to help property owners understand the essential legal requirements of the Fair Housing Act. 

Staying compliant with these fair housing and landlord-tenant laws is not only a legal necessity but also a fundamental part of maintaining a professional and ethical rental business in the Raleigh area.

Understanding the Fair Housing Act

The Fair Housing Act is a federal law that prohibits discrimination in housing related activities based on specific protected characteristics. Its primary purpose is to ensure that every person has an equal and fair opportunity to rent or purchase a home without facing bias or unfair treatment.

In addition to federal standards, our state follows the North Carolina State Fair Housing Act. This state law mirrors federal protections but adds specific local oversight. One notable addition in North Carolina is the protection regarding affordable housing. 

It is illegal in North Carolina to discriminate against a housing development or its residents because the development contains affordable housing units. Aside from this specific addition, North Carolina law generally aligns with the federal list of protected classes.

Protected Classes

When advertising a property or screening tenants in North Carolina, you must ensure that your decisions are not based on any of the following protected classes:

  • Race.
  • Color.
  • National Origin.
  • Religion.
  • Sex (including sexual orientation and gender identity).
  • Familial Status (presence of children under 18).
  • Disability.
gavel and person writing

Treating a prospective tenant differently because they belong to one of these groups is a violation of the law. This applies to every stage of the rental process, from the first phone call to the termination of a lease.

Prohibited Practices for Landlords

Discrimination is not always obvious. It can occur through specific actions or even through the language used in property listings.

Direct refusal to rent to someone based on their protected status is a clear violation. However, the law also prohibits setting different terms or conditions for different tenants. 

For example, a landlord cannot require a higher security deposit from a family with children than they do from a single individual. You also cannot claim a unit is unavailable when it actually is simply because you do not want to rent to a specific applicant.

Steering is another prohibited practice. This occurs when a landlord or manager tries to influence an applicant’s choice of where to live based on their protected class. 

An example of this would be encouraging a tenant to look at a specific part of a building because it is closer to a playground, assuming they would prefer it because of their family status. 

In the Raleigh rental market, all applicants should be given the same options and information regardless of their background.

Disability and Reasonable Accommodations

Under the Fair Housing Act, tenants with disabilities have additional rights. Landlords are required to provide reasonable accommodations and allow reasonable modifications.

A reasonable accommodation is a change in rules, policies, or services. A common example is the “no pets” policy. 

two service animals with person

If a tenant requires a service animal or an emotional support animal due to a disability, the landlord must waive the “no pets” rule and cannot charge a pet deposit or monthly pet fee.

A reasonable modification is a physical change to the property. This might include installing grab bars in a bathroom or adding a ramp to an entrance. In North Carolina, the tenant is usually responsible for the cost of these modifications. 

The landlord can also require that the work be done in a professional manner and that the property be restored to its original condition when the tenant moves out.

The Role of Professional Property Management

Navigating the Fair Housing Act requires constant attention to detail and a deep understanding of evolving legal trends. For many individual property owners, the risk of an accidental violation is high. 

A single mistake in a rental advertisement or an inconsistent answer during a phone screening can lead to a formal complaint.

The North Carolina Human Relations Commission and the Department of Housing and Urban Development take these complaints very seriously. 

Investigations can be lengthy and expensive. If a landlord is found to be in violation, they may face significant fines and be required to pay damages to the applicant.

Hiring a professional property management company like Real Property Management Raleigh is a proactive way to mitigate these risks. We use standardized screening processes that are applied equally to every applicant. 

two people shaking hands

Our team stays updated on all state and federal legislative changes to ensure your investment remains protected. We handle the communication, the documentation, and the legal complexities so that you don’t have to worry about the nuances of fair housing compliance.

The Importance of Documentation

Consistency is the best defense against a fair housing claim. By documenting every interaction and using the same criteria for every applicant, you create a paper trail that proves fair treatment.

Professional managers maintain these records meticulously. When a property owner manages their own unit, they often lack the systems needed to prove they followed the law if a dispute arises.

Bottomline

The Fair Housing Act is designed to create an equitable housing market for everyone in North Carolina. 

While the core of the law focuses on preventing discrimination against protected classes, the practical application involves complex rules regarding advertising, screening, and property modifications. 

Property owners who choose to work with a professional management firm, like Real Property Management Raleigh, benefit from standardized procedures and expert knowledge. 

This partnership ensures that your rental property operates within the law while providing a high quality experience for all tenants in the Raleigh community.

Disclaimer: Please note that the information provided in this blog is intended for general guidance and should not be considered as a replacement for professional legal advice. It is important to be aware that laws pertaining to property management may change, rendering this information outdated by the time you read it.


This content is provided for general informational and educational purposes only and does not constitute financial, legal, tax, or investment advice. Readers should consult with licensed professionals regarding their specific circumstances.

We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.

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