North Carolina Tenant Background Check and Screening Laws

What a Tenant Background Check Covers

Landlords use background checks to reveal deeper insights and verify the details of a rental application form, including:

Criminal history: If the renter has a criminal record, background checks bring it to light. TurboTenant checks 200M+ records to identify any active warrants or previous misdemeanor and felony charges. But always check your state and local laws to confirm what information you can consider. Some areas have rules prohibiting landlords from considering certain criminal history when selecting a tenant.

Eviction history: TurboTenant compares over 25 million eviction records from all 50 states to reveal the following:

• Reports of failure to pay rent,
• Unlawful detainers,
• Judgments for Rent, Possession, and Money, and
• Writs and Warrants of Eviction.

Be sure to check North Carolina’s tenant screening guidelines relating to eviction history before using this information to make a decision.

Credit history: Find out if the renter can afford the monthly rent by reviewing their full credit report, including:

• Current credit score,
• Open lines of credit,
• Payment history,
• Credit inquiries,
• Collections history, and
• Civil records.

Income verification and fraud detection: To get even more information and protection out of each tenant’s background check, North Carolina landlords can sign up for TurboTenant Pro. Pro users access advanced tenant screening tools powered by Snappt to flag fraudulent documents, fake employer information, and known ‘bad actors’.

Rental history: Speaking with a previous landlord gives you the chance to ask questions about how the renter behaved in previous tenancies. It’s a great opportunity to find out how well they maintained the property and what their rent payment habits were like.

References: Contacting any previous employers or personal references listed on the applicant’s application form helps you make informed decisions based on people who have worked with or personally know the applicant.

Federal Tenant Background Check Laws

Federal laws also regulate the tenant background check. North Carolina, take note of these legal guidelines:

Fair Housing Act (FHA): Landlords can’t use discriminatory screening practices or deny renters based on their race, color, national origin, religion, sex, familial status, or disability (Fair Housing Act).

Fair Credit Reporting Act (FCRA): Before conducting credit or background checks, landlords must obtain a renter’s written consent. And if you deny applicants based on information from their credit report, you must inform them in writing with an adverse action notice (Fair Credit Reporting Act).

HUD Guidelines: HUD’s former guidance discouraging blanket criminal-history bans was withdrawn in 2025-2026 as part of a deregulatory review. However, the Fair Housing Act’s disparate-impact protections still apply under case law (see Texas Dept. of Housing & Community Affairs v. Inclusive Communities Project, 576 U.S. 519 (2015)). In other words, blanket bans still could expose landlords to fair-housing claims. Individualized looks into the nature, severity, and timing of an offense remain the most defensible practice.

North Carolina Tenant Screening Laws

Compared to other states, North Carolina tenant screening laws are extremely lenient. The legal guidelines mirror federal requirements, including:

Criminal history: North Carolina doesn’t prohibit landlords from considering criminal history or impose caps on lookback periods.

Fair Chance Housing (“ban the box”): State law doesn’t require landlords to make conditional offers before considering an applicant’s criminal history.

State-specific Fair Housing additions: Landlords only need to be mindful of federally protected characteristics. State law doesn’t add any additional protected traits to the list.

State-level notice/disclosure requirements: There aren’t any notice or disclosure requirements for tenant screening in North Carolina, either.

Reusable tenant screening reports: Some states allow them, but the laws are always changing. Verify your current local guidelines before using them.

Tenant Screening Differences by City in North Carolina

Tenant screening laws can vary across cities, and the differences are significant. Let’s look at a few areas and their local laws:

Charlotte, North Carolina

While most laws follow North Carolina’s regulations for tenant screening, Charlotte protects renters based on the following:

Source of income: Charlotte’s source-of-income protection is not a general landlord rule. It’s a City-Supported Housing Policy, adopted July 11, 2022, that applies only to housing developments receiving City financing or subsidies. Private, unsubsidized rentals are not covered. Charlotte’s separately codified Fair Housing Ordinance (Charlotte City Code, Ch. 12, Art. V) covers only the federally protected classes and doesn’t include source of income.

Raleigh, North Carolina

For tenant screening, Raleigh’s laws mirror the state’s legal guidelines. The same goes for a background check. Raleigh’s landlords must comply with North Carolina law.

Greensboro, North Carolina

When conducting a tenant background check, Greensboro landlords must comply with state and federal regulations. But for protected characteristics, landlords must abide by the following when reviewing tenant screening:

Greensboro’s local fair housing protections: The city considers sexual orientation, gender identity, and gender expression as legally protected traits (Greensboro, N.C., Code § 12-131).

Durham, North Carolina

Similar to Greensboro’s approach to laws governing tenant background checks, Durham’s regulations align with state law, except for added fair housing protections. Here’s what you need to know:

Local fair housing protections: In addition to the federally protected traits for tenant screening, Durham adds the following to its local rulebook:

• Military status
• Protected hairstyles
• Sexual orientation
• Gender identity (Durham, N.C., Code § 34-2)

Winston-Salem, North Carolina

For tenant screening, Winston-Salem has added laws for rental housing that was built, developed, or renovated using city funds. Here’s an overview:

Fair Chance Housing (“ban the box”): Local law restricts landlords from screening for criminal history for city-funded housing (Winston-Salem, N.C., Housing Justice Act).

Criminal history: Landlords who own city-funded rentals can’t deny housing solely because the applicant has a criminal record (Winston-Salem, N.C., Housing Justice Act).

Additional protected characteristics: Winston-Salem’s Fair Housing Ordinance adds sexual orientation, gender identity, and gender expression to the federal list of protected characteristics for tenant screening and housing decisions. A broader list, including pregnancy, veteran status, marital status, familial status, protected hairstyle, and political affiliation, is protected under the City’s separate 2021 nondiscrimination ordinances. Those apply to employment and public accommodations, not just rental housing (Winston-Salem, N.C., Code § 2-8).

Red Flags to Watch Out For

Don’t overlook these potential issues when evaluating a tenant background check. North Carolina rental owners, take note:

Criminal charges: Pay attention to serious offenses that could harm your property, other tenants, or neighbors — just make sure you comply with state and local laws.

History of evictions: Take a closer look at what led to the eviction so you understand the bigger picture.

Unverifiable income: If applicants receive irregular lump-sum payments or inconsistent deposits, their income may not be sufficient to make on-time rent payments.

Inconsistent rental history: When renters have large gaps between tenancies, it may indicate an unstable lifestyle or recurring issues with rentals.

Late payments or collections: If renters have struggled to pay rent consistently during previous tenancies, they may do the same with you.

How to Legally Run a Tenant Background Check in North Carolina

Here’s a rapid-fire list of best practices to stay compliant and protect your business:

• Always obtain a renter’s written permission before conducting any reports.
• Be sure to use a verified, trusted, and thorough background check provider (like TurboTenant).
• Confirm the renter’s identity and SSN to avoid fraud.
• Review each report carefully and make sure all the information lines up.
• Check for evictions or criminal history, but always comply with your state and local laws.
• Use consistent criteria across all applicants to avoid disputes.
• If you reject an applicant based on a credit check, send an adverse action notice.
• Use TurboTenant to simplify everything from the tenant background check to North Carolina compliance, property maintenance, and tenant communication.