Rental Policies

Rental Policies

Scheduling Payments 
Methods of Payment 
Partial Week Rentals
Processing Fee and Taxes
Refundable Security Deposit
Accidental Rental Damage Insurance
Family Groups and Age Requirements
Pets
Mail and Messages
Smoking / Non-Smoking
Check-In Information 
Check-Out Information
Mid-Week Cleaning
Telephones
Cancellations
Refunds
Hurricanes
Travel Insurance
Standard Terms and Conditions
Vacation Rental Act

 

Scheduling Payments:

Once you select your home, you will be provided with payment options. You can select from 1, 2, 3 or 4 installments, depending on how close to arrival you are booking. Click here for details about our Easy Payment Installment Plans.

Your signed lease and initial payment amount is due in our office within 7 days from the reservation date. If we do not receive your deposit and signed or e-signed lease within 7 days, your reservation will be cancelled.

The balance of your rental money, including processing fee, security deposit (if you do not choose the accidental rental damage insurance plan) and taxes is due in our office at least 30 days prior to your arrival.  Your copy of the lease agreement is your final billing notice. You will not receive another balance due notification prior to arrival, so please mark your calendar.

If you are making a reservation less than 30 days in advance, we require payment within 24 hours of making the reservation. Payment methods for reservations made less than 30 days in advance are restricted to credit card and bank draft, unless less than 10 days in advance at which time payments are only accepted via credit card. We cannot accept personal checks within 30 days of your arrival date. We cannot accept bank drafts within 10 days of your arrival date.

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Methods of Payment:

Surf or Sound Realty accepts personal checks, cashier's checks, certified checks, bank drafts (ACH), money orders and credit cards (Visa and MasterCard). A convenience fee may apply for credit card payments.

If you are making a reservation less than 30 days in advance, we require payment within 24 hours of making the reservation. Payment methods for reservations made less than 30 days in advance are restricted to credit card and bank draft, unless less than 10 days in advance at which time payments are only accepted via credit card. We cannot accept personal checks within 30 days of your arrival date. We cannot accept bank drafts within 10 days of your arrival date.

Reservations made from outside the U.S. also require confirmation by credit card and electronic signature or fax. Payment must be made in U.S. funds via credit card or by money order or cashier's check payable by a U.S. bank.

All advance rent monies will be deposited in an interest bearing trust account with Vantage South Bank located at 41934 Highway 12, Avon, NC with interest accrued to Surf or Sound Realty.

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Partial Week Rentals:

The majority of our homes are available for partial week reservations (3 nights minimum). Partial week rentals may only be reserved within 14 days of arrival for Off and Value seasons and within 7 days of arrival for Prime, In and Mid Seasons and Holiday weeks. The rates for 3, 4 and 5 night stays are 60%, 75% and 90% of the non-discounted weekly rate respectively. (Security Deposit, Pet Fees, Accidental Rental Damage Insurance and Processing Fee remain the same) The rate for 6 nights is the same as the weekly rate. The minimum rental rate for any stay is $250.

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Processing Fee and Taxes:

There is a $100 non-refundable processing fee applied to each reservation, due as part of your final payment.

A 6.75% North Carolina Sales Tax and a 5% County Occupancy Tax (Occupancy Tax is increasing to 6% on January 1, 2014) are required on all rental rates and other fees associated with the reservation with the exception of Travel and Accidental Rental Damage Insurance plans and Security Deposits. Taxes are subject to change without notice.

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Refundable Security Deposit:

All of our homes require a refundable security deposit between $400 - $1,000 as security against damage and theft. Surf or Sound Realty will inspect the home upon checkout and will charge for damage and/or theft determined to have been caused by Tenant. You will be notified if a problem exists. Otherwise your security deposit will be returned 45 days after check-out. You may opt for the $65 non-refundable accidental rental damage insurance plan (described in the next section) in lieu of the refundable security deposit.

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Accidental Rental Damage Insurance:

Knowing you have accidental damage coverage for mishaps and theft may help you relax while staying at your vacation rental home and help keep more cash on hand for enjoying your vacation. In lieu of a $400 to $1,000 security deposit, we offer an accidental rental damage insurance plan. This non-refundable $65 accidental damage insurance plan covers you for theft or damage which results from an accident within the home with a coverage limit of $1,500. The insurance does not cover negligent, willful or wanton conduct and a credit card imprint will still be required at check-in. (Visa or MasterCard only, no debit cards please). You must notify Surf or Sound Realty of any damage or theft to the home during your occupancy or this coverage may be void. If you opt against the insurance, a security deposit will be added to your final balance. Coverage is effective at time of check-in and plan cost will not be refunded. You may not elect the insurance once you have occupied the home. Surf or Sound Realty receives a commission from the insurance company.


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Family Groups and Age Requirements:

Surf or Sound Realty rents to family groups only. A family group is defined as immediate and extended family (parents, children, grandparents, siblings). No fraternities, sororities, college, school, church, civic or other non-family groups are permitted. Additionally all family members less than 27 years old must be supervised by at least two accompanying adults 35 years of age or older at all times during tenancy. The supervising adults must also be present at check-in and remain for the duration of this tenancy. In the event that we determine at check-in or thereafter that you are not a family group, you will be in material breach of your lease, and you will be denied access to the property and or subject to immediate expedited eviction and will forfeit all rents and fees paid to Surf or Sound Realty. For specific age requirements, please see the "Family Groups and Age Requirements" section of our lease terms and conditions.

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Pets:

Many of our homes allow dogs to come with you on vacation. Towards the end of the bulleted amenities list for each home, we indicate if the home is Dog Friendly or Pets not Permitted. Those marked as Dog Friendly allow one housebroken dog, unless additional dogs are pre-approved at time of reservation. A $90 per week non-refundable Pet Fee is required for each approved dog. All additional dogs must be approved and may require additional paperwork. Any other pets on the premises of a “Dog Friendly” home or any pet on the premises of a non-“Dog Friendly” home is strictly prohibited, a material breach of the lease, and grounds for expedited eviction and forfeiture of all rents and fees paid. Any non-declared pets in “Dog Friendly” homes will be charged the $90 per week non-refundable pet fee as well as a $90 non-declared pet fee, for a total of $180 per pet. Bringing a pet into a non-“Dog Friendly” home will incur the full cost of flea treatment and carpet and upholstery cleaning. All such fees and costs will be deducted from your security deposit or will be charged to the credit card on file. All pets, including approved dogs, are strictly prohibited in the pool and spa.

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Check-out:

ALL GUESTS MUST CHECK OUT BY 10:00 A.M. If you check out before our office opens, please leave the keys in our drop box.

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Mail and Messages:

All mail and messages will be placed in a mailbox inside our office. If you are having mail sent, please be sure the name of your home is on the envelope. For Federal Express and UPS deliveries please call your check-in office for shipping address. It is the responsibility of the guest to check with our office for messages. Only Emergency Messages will be delivered.

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Linens Rental:

If linens are not provided with your rental home, you have the option of bringing your own or renting them from Beach Detail Linen Service by calling them at 1-800-791-2976 or by ordering them online at www.beachdetail.com. We do not rent linens from our office. Beach Detail Linen Service will deliver the rented linens to your home and pick them up when you leave. For an additional fee they will even make the beds prior to your arrival. In order to place your linen order, they will need to know the sizes and number of beds. Please also specify if you would like bath linens. Please make your linen reservation at least 2 weeks prior to your arrival.

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Smoking/Non-Smoking:

Some of our owners expressly request that guests not smoke at their homes. This is primarily due to health complications that they or family members have associated with residue left from cigarette, cigar, or pipe smoke. Please do not reserve a non-smoking home if anyone in your party smokes. If our cleaning/inspection staff detects evidence of smoking within a non-smoking home, then the entire cost of cleaning and deodorizing will be charged to the credit card on file.

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Mid-Week Cleaning:

Surf or Sound offers a mid-week cleaning service with 24 hours advance notice. This service is available Monday through Friday. The fee for this service ranges depending upon the size of the home. Mid-week cleaning for hot tubs and pools is also available. The average fee for mid-week cleaning of hot tubs is $45, the average mid-week cleaning for a pool is $70.

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Telephones:

Our homeowners provide telephones for your convenience and safety. Most are equipped with blocks to prevent long distance calls without the use of a calling card. In no event should guests charge or accept a long distance call on the cottage phone. A $20 collection fee will be added to any toll call that appears on the owner's bill for the dates of occupancy and will be deducted from your security deposit, or charged to the credit card on file.

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Cancellations:

If you should have to cancel your reservation for any reason, please contact our office immediately. We will make every effort to re-rent your home, but if we are unable to do so, the full rental amount, including taxes and all applicable fees, is due and payable by the payment due date including those payments automatically scheduled per a Payment Plan. If we are able to re-rent the home at the same rental rate, all monies you have paid (less the $100 processing fee, a $100 cancellation fee, Travel Insurance and Accidental Rental Damage Insurance premiums, if purchased, late fees and credit card service fees, if charged,  and all applicable taxes) will be returned if and when final payment is received for the new reservation. Any discounts necessary to re-rent your home will also reduce the amount of your refund.

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Refunds:

There are no refunds due to the failure of non-essential items such as internet, cable, air conditioners, hot tubs, pools, TVs, washer/dryers, dishwashers, microwaves or other convenience items. However, we will make every reasonable effort to have such items repaired as quickly as possible.

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Hurricanes:

In the unfortunate event that a hurricane should threaten Hatteras Island, it is important that you follow instructions given by local authorities and Surf or Sound Realty. Our policy is that we provide no refunds due to hurricanes or hurricane evacuation. Travel Guard travel insurance is available to provide coverage for your reservation. Information on the All Seasons Travel Plan is available at www.travelguard.com/astp or you may call 877-249-5376.

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Travel Insurance:

We include a travel insurance plan with the deposit due for every lease. You may decline coverage by initialing and removing the plan cost from your balance due (please read our Hurricane Policy above). The insurance cannot be purchased after final payment has been made. Agent receives a commission from the travel insurance company. Information on the All Seasons Travel Plan is available at www.travelguard.com/astp or you may call Travel Guard at 877-249-5376.

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STANDARD TERMS AND CONDITIONS:

Disbursement of Advance Rent and Fees

Your rental agreement shall not be binding upon Surf or Sound unless and until Surf or Sound has received one-half of the gross rent as advance rent and all checks have cleared the bank. You acknowledge and agree that you are not entitled to possession of the premises until the full rental amount agreed to has been paid. All advance payments shall be deposited into a interest bearing trust account in the name of Surf or Sound Realty at Vanguard South Bank in the Hatteras Island Plaza in Avon, North Carolina no more than three days after receipt. Tenant understands and agrees that interest earned on the trust account shall be paid to Surf or Sound Realty, and that if a refund of the original deposit or some portion thereof is made to the Tenant, no interest shall be paid to Tenant on those funds. 

Tenant acknowledges and agrees that Surf or Sound shall not disburse more than fifty percent (50%) of the total rent prior to (1) the commencement of the tenancy (2) the Tenant commits a material breach, at which time Surf or Sound shall retain an amount sufficient to defray the actual damages suffered by the landlord as a result of the breach, or (3) Surf or Sound refunds the money to the Tenant or (4) the funds are transferred as required by N.C.G.S. 42A-19(b) upon the Landlord sale or other transfer of their interest in the property. Your security deposit shall not be disbursed from the trust account prior to the termination of the tenancy or material breach of this agreement by the tenant, unless we refund the funds to you. Execution of this rental agreement by the Tenant does not waive any of Tenant's rights to reimbursement of such payments if the Tenant is lawfully entitled to reimbursement.

Surf or Sound shall hold your security deposit in their trust account. This security deposit shall be subject to the requirements of N.C.G.S. 42-56. Surf or Sound will, at the end of your stay, deduct from the security deposit the amount of any unpaid long distance or per call telephone charges and a $20 collection fee for the same, if any, any unpaid cable or satellite television charges that are the responsibility of the Tenant, if any, and for the repair or replacement of any actual damages caused by a breach of this agreement or during tenancy of the premises.

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Processing Fees (Permitted Under G.S. 42A-17(c) of the Vacation Rental Act)

An additional non-refundable administrative fee of $100.00 is charged for each reservation. This fee, for purposes of this agreement, is included in the amount assigned as "rent." Furthermore, in the event that you may, under the terms and conditions of this agreement, cancel this reservation, and you decide to do so, an additional administrative fee of $100.00 for the processing of the cancellation shall be charged for each canceled reservation.

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The Rights and Obligations of the Owner and Surf or Sound Realty (Under G.S. 42A-17(b) of the Vacation Rental Act)

Except as otherwise provided within this agreement, in the event that the landlord or Surf or Sound cannot provide the premises rented to the tenant in a fit and habitable condition or substitute a reasonably comparable property in such condition within a reasonable amount of time, Surf or Sound shall refund to the tenant all payments made by the Tenant via mail. Tenant understands and agrees that Surf or Sound shall determine what constitutes "a fit and habitable condition" as well as "a reasonably comparable property" as well as "a reasonable amount of time" and whether it is "available," in their sole discretion, and that Tenant shall be bound by Surf or Sound’s determinations.

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Smoke Detectors

We make every effort to see that the smoke detectors in each building are operating properly. However, batteries in such devices, or the devices themselves, can fail at any time. Please check your smoke detector to be sure that the batteries and smoke detector itself are still operating properly. Notify us immediately if you find your detector, at any time during your stay, is not operating properly.

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Repair of Facilities and Major Appliances

We make every effort to maintain in good and safe working order all electrical, plumbing, sanitary, heating, ventilating, and other facilities and major appliances supplied by the landlord. However, such items do fail on occasion. Please call Surf or Sound immediately upon finding any such device or appliance not working in a safe and good order so that we can remedy the situation as soon as possible. We are governed by Article 5 of the Vacation Rental Act and encourage you to review that article for further details on the duties and responsibilities of the Landlord and Tenant.

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Expedited Eviction

In the event that you have misrepresented a material fact, including but not limited to questions such as whether or not you are a family group, the number of individuals staying in the rented premises, or are in material breach of the agreement, including but not limited to smoking in a non-smoking property, or housing pets in a no-pet property, the only remedy the law allows is an immediate eviction as set forth in N.C.G.S. 42A-24. The law allows us no alternative but to seek immediate eviction with no refund even though such action may be considered extremely harsh under the circumstances. To avoid such eviction, please conform to the conditions required by your rental agreement.

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Mandatory Evacuation (Under G.S.41a-36 of the Vacation Rental Act)

Our island is subject to hurricanes. In the event a hurricane threatens our island, Dare County may issue a mandatory evacuation order. You, by law, are required to comply with the evacuation order. Travel Guard travel insurance is available to provide coverage for your reservation. Information on the All Seasons Travel Plan is available at www.travelguard.com/astp or you may call 877-249-5376. We have made considerable efforts to obtain for your benefit solid and well priced policies that would be available to you. We guarantee that the cost of insurance will not exceed eight percent (8%) of the total rent charged for the vacation rental.

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The Rights and Obligations of the Owner or Real Estate Broker and the Tenant Upon the Transfer of the Rented Property

In the event the owner of the premises you have rented voluntarily transfers or sells the premises the grantee who takes ownership of the premises shall take ownership subject to this vacation rental agreement if the vacation rental is to end not later than 180 days after the grantee's interest to the property is recorded in the office of the register of deeds. In the event that your rental period is longer than 180 days from the recording of the grantee's interest, you, the tenant, shall have no right to enforce the terms of the agreement unless the grantee has agreed in writing to honor such terms, but Surf or Sound will either find an acceptable substitute that you may rent, or you may receive a refund of any payments by you for the rental of the premises. You should be aware that by law, in the event you have rented a house within 180 days of its transfer, Surf or Sound is required to disclose to the new buyer of your rented home your name and address and provide a copy of your vacation rental agreement to them. Surf or Sound will notify you if your rented house is transferred, advise you of your right to occupy the property subject to the terms of your rental agreement, and whether you are entitled to any refund of payments you have made.

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CHAPTER 42A - VACATION RENTAL ACT

Article 1. Vacation Rentals


42A-1. Title. 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.)

42A-4. Definitions. 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.) 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.) 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 rentaart 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 agreemenart 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.)

42A-16. Advance payments uses. (a) A landlord or real estate broker shall not disburse prior to the occupancy of the property by the tenant an amount greater than occupancy of the property by the tenant an amount greater than occupancy of the property by the tenant an amount greater than fifty percent (50%) of the total rent except as permitted pursuant to this subsection. A landlord or real estate broker may disburse prior to the occupancy of the property by the tenant any fees owed to third parties to pay for goods, services, or benefits procured by the landlord or real estate broker for the benefit of the tenant, including administrative fees permitted by G.S. 42A-17(c), if the disbursement is expressly authorized in the vacation rental agreement. The funds remaining after any disbursement permitted under this subsection shall remain in the trust account and may not be disbursed until the occurrence of one of the following: (1) The commencement of the tenancy, at which time the remaining funds may be disbursed in accordance with the terms of the agreement. (2) The tenant commits a material breach, at which time the landlord may retain an amount sufficient to defray the actual damages suffered by the landlord as a result of the breach. (3) The landlord or real estate broker refunds the money to the tenant. (4) The funds in the trust account are transferred in accordance with G.S. 42A-19(b) upon the termination of the landlord's interest in the property. (b) Funds collected for sales or occupancy taxes and tenant security deposits shall not be disbursed from the trust account prior to termination of the tenancy or material breach of the agreement by the tenant, except as a refund to the tenant. (c) The tenant's execution of a vacation rental agreement in which he or she agrees to the advance disbursement of payments shall not constitute a waiver or loss of any of the tenant's rights to reimbursement of such payments if the tenant is lawfully entitled to reimbursement. (1999-420, s. 1.)

42A-17. Accounting; reimbursement. (a) A vacation rental agreement shall identify the name and address of the bank or savings and loan association in which the tenant's security deposit and other advance payments are held in a trust account, and the landlord and real estate broker shall provide the tenant with an accounting of such deposit and payments if the tenant makes a reasonable request for an accounting prior to the tenant's occupancy of the property. (b) Except as otherwise provided in this subsection, if, at the time the tenant is to begin occupancy of the property, the landlord or real estate broker cannot provide the property in a fit and habitable condition or substitute a reasonably comparable property in such condition, the landlord and real estate broker shall refund to the tenant all payments made by the tenant. (c) A vacation rental agreement may include administrative fees, the amounts of which shall be provided in the agreement, reasonably calculated to cover the costs of processing the tenant's reservation, transfer, or cancellation of a vacation rental. (1999-420, s. 1.)

42A-18. Applicability of the Residential Tenant Security Deposit Act. (a) Except as may otherwise be provided in this Chapter, all funds collected from a tenant and not identified in the vacation rental agreement as occupancy or sales taxes, fees, or rent payments shall be considered a tenant security deposit and shall be subject to the provisions of the Residential Tenant Security Deposit Act, as codified in Article 6 of Chapter 42 of the General Statutes. Funds collected as a tenant security deposit in connection with a vacation rental shall be deposited into a trust account as required by G.S. 42-50. The landlord or real estate broker shall not have the option of obtaining a bond in lieu of maintaining security deposit funds in a trust account. In addition to the permitted uses of tenant security deposit monies as provided in G.S. 42-51, a landlord or real estate broker may, after the termination of a tenancy under this Chapter, deduct from any tenant security deposit the amount of any long distance or per call telephone charges and cable television charges that are the obligation of the tenant under the vacation rental agreement and are left unpaid by the tenant at the conclusion of the tenancy. The landlord or real estate broker shall apply, account for, or refund tenant security deposit monies as provided in G.S. 42-51 within 45 days following the conclusion of the tenancy. (b) A vacation rental agreement shall not contain language compelling or permitting the automatic forfeiture of all or part of a tenant security deposit in case of breach of contract by the tenant, and no such forfeiture shall be allowed. The vacation rental agreement shall provide that a tenant security deposit may be applied to actual damages caused by the tenant as permitted under Article 6 of Chapter 42 of the General Statutes. (1999-420, s. 1.)

42A-19. Transfer of property subject to a vacation rental agreement. (a) The grantee of residential property voluntarily transferred by a landlord who has entered into a vacation rental agreement for the use of the property shall take his or her title subject to the vacation rental agreement if the vacation rental is to end not later than 180 days after the grantee's interest in the property is recorded in the office of the register of deeds. If the vacation rental is to end more than 180 days after the recording of the grantee's interest, the tenant shall have no right to enforce the terms of the agreement unless the grantee has agreed in writing to honor such terms, but the tenant shall be entitled to a refund of payments made by him or her, as provided in subsection (b) of this section. Prior to entering into any contract of sale, the landlord shall disclose to the grantee the time periods that the property is subject to a vacation rental agreement. Not later than 10 days after entering into the contract of sale the landlord shall disclose to the grantee each tenant's name and address and shall provide the grantee with a copy of each vacation rental agreement. Not later than 10 days after transfer of the property, the grantee or the grantee's agent shall: (1) Notify each tenant in writing of the property transfer, the grantee's name and address, and the date the grantee's interest was recorded. (2) Advise each tenant whether he or she has the right to occupy the property subject to the terms of the vacation rental agreement and the provisions of this section. (3) Advise each tenant of whether he or she has the right to receive a refund of any payments made by him or her. (b) Except as otherwise provided in this subsection, upon termination of the landlord's interest in the residential property subject to a vacation rental agreement, whether by sale, assignment, death, appointment of receiver or otherwise, the landlord or the landlord's agent, or the real estate broker, shall, within 30 days, transfer all advance rent paid by the tenant, and the portion of any fees remaining after any lawful deductions made under G.S. 42A-16, to the landlord's successor in interest and thereafter notify the tenant by mail of such transfer and of the transferee's name and address. For vacation rentals that end more than 180 days after the recording of the interest of the landlord's successor in interest, unless the landlord's successor in interest has agreed in writing to honor the vacation rental agreement, the landlord or the landlord's agent, or the real estate broker, shall, within 30 days, transfer all advance rent paid by the tenant, and the portion of any fees remaining after any lawful deductions made under G.S. 42A-16, to the tenant. Compliance with this subsection shall relieve the landlord or real estate broker of further liability with respect to any payment of rent or fees. Funds held as a security deposit shall be disbursed in accordance with G.S. 42A- 18. (c) Repealed by Session Laws 2000-140, s. 41. (d) The failure of a landlord to comply with the provisions of this section shall constitute an unfair trade practice in violation of G.S. 75-1.1. A landlord who complies with the requirements of this section shall have no further obligations to the tenant. (1999-420, s. 1; 2000-140, s. 41.) Article 4. Expedited Eviction Proceedings.

42A-23. Grounds for eviction. (a) Any tenant who leases residential property subject to a vacation rental agreement under this Chapter for 30 days or less may be evicted and removed from the property in an expedited eviction proceeding brought by the landlord, or real estate broker as agent for the landlord, as provided in this Article if the tenant does one of the following: (1) Holds over possession after his or her tenancy has expired. (2) Has committed a material breach of the terms of the vacation rental agreement that, according to the terms of the agreement, results in the termination of his or her tenancy. (3) Fails to pay rent as required by the agreement. (4) Has obtained possession of the property by fraud or misrepresentation. (b) Only the right to possession shall be relevant in an expedited eviction proceeding. All other issues related to the rental of the residential property shall be presented in a separate civil action. (1999-420, s. 1.)

42A-24. Expedited eviction. (a) Before commencing an expedited eviction proceeding, the landlord or real estate broker shall give the tenant at least four hours' notice, either orally or in writing, to quit the premises. If reasonable efforts to personally give oral or written notice have failed, written notice may be given by posting the notice on the front door of the property. (b) An expedited eviction proceeding shall commence with the filing of a complaint and issuance of summons in the county where the property is located. If the office of the clerk of superior court is closed, the complaint shall be filed with, and the summons issued by, a magistrate. The service of the summons and complaint for expedited eviction shall be made by a sworn law enforcement officer on the tenant personally or by posting a copy of the summons and complaint on the front door of the property. The officer, upon service, shall promptly file a return therefor. A hearing on the expedited eviction shall be held before a magistrate in the county where the property is located not sooner than 12 hours after service upon the tenant and no later than 48 hours after such service. To the extent that the provisions of this Article are in conflict with the Rules of Civil Procedure, Chapter 1A of the General Statutes, with respect to the commencement of an action or service of process, this Article controls. (c) The complaint for expedited eviction shall allege and the landlord or real estate broker shall prove the following at the hearing: (1) The vacation rental is for a term of 30 days or less. (2) The tenant entered into and accepted a vacation rental agreement that conforms to the provisions of this Chapter. (3) The tenant committed one or more of the acts listed in G.S. 42A-23(a) as grounds for eviction. (4) The landlord or real estate broker has given notice to the tenant to vacate as a result of the breach as provided in subsection (a) of this section. The rules of evidence shall not apply in an expedited eviction proceeding, and the court shall allow any reasonably reliable and material statements, documents, or other exhibits to be admitted as evidence. The provisions of G.S. 7A-218, 7A-219, and 7A-220, except any provisions regarding amount in controversy, shall apply to an expedited eviction proceeding held before the magistrate. These provisions shall not be construed to broaden the scope of an expedited eviction proceeding to issues other than the right to possession. (d) If the court finds for the landlord or real estate broker, the court shall immediately enter a written order granting the landlord or real estate broker possession and stating the time when the tenant shall vacate the property. In no case shall this time be less than 2 hours or more than 8 hours after service of the order on the tenant. The court's order shall be served on the tenant at the hearing. If the tenant does not appear at the hearing or leaves before the order is served, the order shall be served by delivering the order to the tenant or by posting the order on the front door of the property by any sworn law enforcement officer. The officer, upon service, shall file a return therefor. If the court finds for the landlord or real estate broker, the court shall determine the amount of the appeal bond that the tenant shall be required to post should the tenant seek to appeal the court order. The amount of the bond shall be an estimate of the rent that will become due while the tenant is prosecuting the appeal and reasonable damages that the landlord may suffer, including damage to property and damages arising from the inability of the landlord or real estate broker to honor other vacation rental agreements due to the tenant's possession of the property. (1999-420, s. 1.)

42A-25. Appeal. A tenant or landlord may appeal a court order issued pursuant to G.S. 42A-24(d) to district court for a trial de novo. A tenant may petition the district court to stay the eviction order and shall post a cash or secured bond with the court in the amount determined by the court pursuant to G.S. 42A- 24(d). (1999-420, s. 1.)

42A-26. Violation of court order. If a tenant fails to remove personal property from a residential property subject to a vacation rental after the court has entered an order of eviction, the landlord or real estate broker shall have the same rights as provided in G.S. 42- 36.2(b) as if the sheriff had not removed the tenant's property. The failure of a tenant or the guest of a tenant to vacate a residential property in accordance with a court order issued pursuant to G.S. 42A-24(d) shall constitute a criminal trespass under G.S. 14-159.13. (1999-420, s. 1.)

42A-27. Penalties for abuse. A landlord or real estate broker shall undertake to evict a tenant pursuant to an expedited eviction proceeding only when he or she has a good faith belief that grounds for eviction exists under the provisions of this Chapter. Otherwise, the landlord or real estate broker shall be guilty of an unfair trade practice under G.S. 75-1.1 and a Class 1 misdemeanor. (1999-420, s. 1.) Article 5. Landlord and Tenant Duties.

42A-31. Landlord to provide fit premises. A landlord of a residential property used for a vacation rental shall: (1) Comply with all current applicable building and housing codes. (2) Make all repairs and do whatever is reasonably necessary to put and keep the property in a fit and habitable condition. (3) Keep all common areas of the property in safe condition. (4) Maintain in good and safe working order and reasonably and promptly repair all electrical, plumbing, sanitary, heating, ventilating, and other facilities and major appliances supplied by him or her upon written notification from the tenant that repairs are needed. (5) Provide operable smoke detectors. The landlord shall replace or repair the smoke detectors if the landlord is notified by the tenant in writing that replacement or repair is needed. The landlord shall annually place new batteries in a battery-operated smoke detector, and the tenant shall replace the batteries as needed during the tenancy. Failure of the tenant to replace the batteries as needed shall not be considered negligence on the part of the tenant or landlord. These duties shall not be waived; however, the landlord and tenant may make additional covenants not inconsistent herewith in the vacation rental agreement. (1999-420, s. 1.)

42A-32. Tenant to maintain dwelling unit. The tenant of a residential property used for a vacation rental shall: (1) Keep that part of the property which he or she occupies and uses as clean and safe as the conditions of the property permit and cause no unsafe or unsanitary conditions in the common areas and remainder of the property that he or she uses. (2) Dispose of all ashes, rubbish, garbage, and other waste in a clean and safe manner. (3) Keep all plumbing fixtures in the property or used by the tenant as clean as their condition permits. (4) Not deliberately or negligently destroy, deface, damage, or remove any part of the property or render inoperable the smoke detector provided by the landlord or knowingly permit any person to do so. (5) Comply with all obligations imposed upon the tenant by current applicable building and housing codes. (6) Be responsible for all damage, defacement, or removal of any property inside the property that is in his or her exclusive control unless the damage, defacement, or removal was due to ordinary wear and tear, acts of the landlord or his or her agent, defective products supplied or repairs authorized by the landlord, acts of third parties not invitees of the tenant, or natural forces. (7) Notify the landlord of the need for replacement of or repairs to a smoke detector. The landlord shall annually place new batteries in a battery-operated smoke detector, and the tenant shall replace the batteries as needed during the tenancy. Failure of the tenant to replace the batteries as needed shall not be considered negligence on the part of the tenant or the landlord. These duties shall not be waived; however, the landlord and tenant may make additional covenants not inconsistent herewith in the vacation rental agreement. (1999-420, s. 1.) Article 6 General Provisions.

42A-36. Mandatory evacuations. If State or local authorities, acting pursuant to Article 36A of Chapter 14 or Article 1 of Chapter 166A of the General Statutes, order a mandatory evacuation of an area that includes the residential property subject to a vacation rental, the tenant in possession of the property shall comply with the evacuation order. Upon compliance, the tenant shall be entitled to a refund from the landlord of the prorated rent for each night that the tenant is unable to occupy the property because of the mandatory evacuation order. The tenant shall not be entitled to a refund if: (i) prior to the tenant taking possession of the property, the tenant refused insurance offered by the landlord or real estate broker that would have compensated him or her for losses or damages resulting from loss of use of the property due to a mandatory evacuation order; or (ii) the tenant purchased insurance offered by the landlord or real estate broker. The insurance offered shall be provided by an insurance company duly authorized by the North Carolina Department of Insurance, and the cost of the insurance shall not exceed eight percent (8%) of the total rent charged for the vacation rental to the tenant. (1999-420, s. 1.)

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