North Carolina Short-Term Rental Laws & Hotel Tax (2026)

State license required

No

Tax on a stay

12.75%–16.25%

Next rule change

Jun 30, 2027

The laws in brief

Issued by

None at the state level; cities issue zoning permits where they require them (for example Raleigh and Asheville)

Valid for

A state license does not exist. Asheville homestay permits and Raleigh zoning permits are issued by those cities and revoked after repeated verified violations.

On listings

No number needed on listings

Platform checks

No state license number exists for platforms to verify. Raleigh requires its zoning permit number on every advertisement, and accommodation facilitators must collect each property manager's human trafficking training certification.

Fees

Who qualifies

• State level: no owner-occupancy, night-cap or primary-residence rule applies across North Carolina
• Asheville: the homestay host must live in the home full-time in a residential zone and rent one or two bedrooms for under 30 days
• Raleigh: a miscellaneous zoning permit is required before operating, and multi-unit buildings may use no more than 25% of units or two units
• Wilmington: whole-house rentals need a local operator within 25 miles; homestay hosts must live on site

How to apply

1. 1 Check the city or town zoning rules for your address before listing; the state does not issue a license.
2. 2 Where the city requires it, apply through the city planning or permit portal (Raleigh zoning permit, Asheville homestay permit).
3. 3 If you take bookings outside Airbnb, register for sales tax with the Department of Revenue (no fee) and open a county occupancy tax account.
4. 4 Complete the human trafficking awareness training required for property managers of vacation rentals.

Permit rules

Cities and counties cannot require rental registration

State law bars a city or county from requiring an owner to obtain a permit or permission under the building and housing codes to rent residential property or to register it, except for properties with repeated verified violations or high crime-and-disorder counts.³

Wilmington's registration and lottery were struck down

On April 5, 2022 the North Carolina Court of Appeals ruled that Wilmington's short-term rental registration and lottery provisions were invalid under G.S. 160D-1207(c), and the cap and distance rules tied to them fell with it.^14,28 In force since April 5, 2022

Platforms must collect training certification

An accommodation facilitator such as Airbnb must notify property managers of the training rule and require them to certify completion before a new listing goes live, and by June 30, 2027 for existing listings.² In force since July 1, 2025

Airbnb is the tax collector on bookings it processes

When an accommodation facilitator collects the payment, it is the retailer that must report and remit the state sales tax on that portion of the rental.⁴

Advertised price must be the total price

A federal rule requires any advertised price for a short-term rental to show the total price, including mandatory fees; taxes and government charges may be shown separately.^1,9 In force since May 12, 2025

Raleigh: zoning permit before operating

Every short-term rental operator in Raleigh must first apply for and receive a miscellaneous zoning permit; a short-term rental is a dwelling or part of one rented for no longer than 30 days.⁷ Applies to: Raleigh

Raleigh: permit number on every advertisement

The Raleigh zoning permit number must be posted on every advertisement and on the property, and guest lists must be kept for three years.⁷ Applies to: Raleigh

Charlotte: police rental registry is voluntary unless flagged

Charlotte's rental registry run with the police department is free and voluntary, and mandatory only for properties that meet disorder-risk thresholds.^19,29 Applies to: Charlotte

Zoning can still decide where short-term rentals operate

The Court of Appeals held that state law allows general zoning and development standards for short-term rentals, so cities can limit whole-house lodging to certain zoning districts.^14,28 In force since April 5, 2022

Zoning limits on whole-house lodging were upheld

The same ruling left in effect Wilmington's restriction of whole-house lodging to certain zoning districts, so a zoning limit on location is lawful even though a registration system is not.¹⁴ In force since April 5, 2022

Asheville: owner-occupied homestays only

Asheville permits a homestay when the host lives in the home full-time in a residential zone and rents one or two bedrooms for under 30 days at a time.¹⁶ Applies to: Asheville

Asheville: whole-home rentals only in the Resort district

Renting an entire dwelling for less than a month is a short-term vacation rental, which Asheville allows only in its Resort zoning district.¹⁶ Applies to: Asheville

Raleigh: multi-unit buildings capped at 25% or two units

In a multi-unit building, no more than 25% of the units, or two units if that is greater, may be short-term rentals.⁷ Applies to: Raleigh

1. 1. Charlotte

   Mecklenburg County

   Charlotte's only registration is a police-run rental registry, which is free and voluntary unless a property meets disorder-risk thresholds. Mecklenburg County's 8% occupancy tax and 8.25% sales tax apply, and Airbnb collects both.^12,19,20,29

   • Police rental registry is free and voluntary, mandatory only above disorder-risk thresholds
   • Mecklenburg County occupancy tax: 6% plus 2%, 8% in all
   • Sales tax 8.25% since July 1, 2026 (4.75% state, 2% county, 0.5% transit, 1% additional)
   • Airbnb collects the county occupancy tax and the sales tax in Charlotte

2. 2. Asheville

   Buncombe County

   Asheville allows only owner-occupied homestays in residential zones, with a city permit, and permits entire-home rentals only in its Resort zoning district. Buncombe County's 6% occupancy tax applies and covers Airbnb rentals.^11,16,17,21

   • Homestay: host lives in the home full-time, rents one or two bedrooms, stays under 30 days
   • Entire-home rentals only in the Resort zoning district
   • Homestay permit fee: $200
   • Buncombe County occupancy tax: 6%

3. 3. Raleigh

   Wake County

   Raleigh treats a short-term rental as a dwelling rented for no longer than 30 days and requires a miscellaneous zoning permit first. Multi-unit buildings are capped at 25% of units or two units, and the permit number must appear in every advertisement. Wake County's 6% occupancy tax applies.^7,8,11,22

   • Miscellaneous zoning permit required before operating
   • Permit number posted on every advertisement and the property
   • Multi-unit buildings: 25% of units or two units, whichever is greater
   • Uncorrected violation: $500 per day; permit revoked after two verified violations in 365 days

4. 4. Wilmington

   New Hanover County

   Wilmington defines a short-term rental as 29 days or less and regulates homestays and whole-house lodging through zoning standards; a 2022 court ruling struck down its registration and lottery. The city occupancy tax is 6%, and sales tax is 7%.^{11,14,18,23,28}

   • Homestay: the owner or principal resident must live on site
   • Whole-house: local operator available 24 hours, within 25 miles
   • Commercial general liability insurance of at least $500,000 per occurrence
   • No parties, events or large gatherings

What the host still handles

• A sales tax certificate of registration with the Department of Revenue for bookings taken outside Airbnb (no fee)
• A room occupancy tax account with the county or town for bookings taken outside Airbnb, with returns due by the 20th of each month
• Any city zoning or homestay permit the city requires (Raleigh, Asheville)^4,5,10,13,27

Vacation Rental Act covers stays under 90 days

North Carolina's Vacation Rental Act applies to landlords and real estate brokers who rent residential property for vacation, leisure or recreation for fewer than 90 days to a guest who has a permanent home elsewhere.²

Written vacation rental agreement required

A landlord or broker and the guest must execute a written vacation rental agreement for each covered vacation rental.²

No more than half the rent released before arrival

A landlord or broker may not disburse more than 50% of the total rent before the guest occupies the property, apart from fees owed to third parties, and advance payments go into a trust account.²

Smoke detectors and a carbon monoxide alarm on every level

The landlord of a vacation rental must provide operable smoke detectors and at least one operable carbon monoxide alarm per rental unit per level, and replace or repair them within days of a report.²

Refund when a mandatory evacuation is ordered

If authorities order a mandatory evacuation, the guest must leave and is entitled to a prorated refund of the rent, taxes and other payments for each night the property cannot be used.²

Human trafficking reporting procedure before listing

Before first listing a vacation rental, the property manager must set up a procedure for reporting suspected human trafficking to the National Human Trafficking Hotline or local law enforcement.² In force since July 1, 2025

Human trafficking awareness training

For rentals first offered on or after July 1, 2025, the property manager must complete training before the rental is offered, and staff and contractors within 60 days of starting work, repeated every two years; rentals offered earlier have until June 30, 2027.² In force since July 1, 2025

Occupancy tax applies to the same receipts as sales tax

A county room occupancy tax applies to the same gross receipts as the state sales tax on accommodations, and a facilitator has the same responsibility for it.⁵

Short and long stays exempt in some cases

The sales tax does not apply to a private residence rented fewer than 15 days in a year unless the rental runs through a facilitator, or to a guest who stays 90 or more continuous days.⁴

Wilmington: local operator within 25 miles

A whole-house rental in Wilmington needs no owner on site, but a local operator must be available 24 hours a day within 25 miles of the property.¹⁸ Applies to: Wilmington

Wilmington: $500,000 liability insurance

Wilmington owners of homestays and whole-house rentals must carry commercial general liability insurance of at least $500,000 per occurrence.¹⁸ Applies to: Wilmington

• Human trafficking training rule: the Department of Labor may fine a property manager or contractor $500 for a first willful violation, $1,000 for a second and $2,000 for the third and each later violation.²
• Raleigh: a zoning violation not corrected in time draws a civil penalty of $500 per day, after an initial $100 penalty.⁸
• Raleigh: a permit is revoked after two verified violations in 365 days, and no new permit can be issued for the property for 365 days.⁷
• Unpaid occupancy tax: a county room occupancy tax carries the same civil and criminal penalties as the state sales tax, including a Class 1 misdemeanor for willful failure to file or pay.^5,6
• Tax evasion: willfully attempting to evade or defeat a state tax is a Class H felony.⁶
• Federal fee rule: businesses that violate the FTC fee rule can be ordered to comply, refund consumers and pay civil penalties.⁹

1. June 30, 2027 Upcoming
   Training deadline for existing vacation rentals

   Property managers and staff of vacation rentals first offered before July 1, 2025 must finish human trafficking awareness training, and certify it to platforms, by June 30, 2027.²

2. July 1, 2026
   Mecklenburg County sales tax rises to 8.25%

   Mecklenburg County, which includes Charlotte, added a 1% local sales and use tax on July 1, 2026, lifting the combined state and local rate on a stay from 7.25% to 8.25%.¹²

3. July 1, 2025
   Human trafficking training rule takes effect for new vacation rentals

   Property managers of vacation rentals first offered on or after July 1, 2025 must have a reporting procedure and complete awareness training before listing; platforms must collect their certification.²

4. March 17, 2025 Not in force
   Senate Bill 291 would limit city regulation of short-term rentals

   Senate Bill 291, Regulation of Short-Term Rentals, was referred to the Senate Rules and Operations Committee on March 17, 2025, and its last recorded action remains that referral.¹⁵

5. April 5, 2022
   Court strikes Wilmington's rental registration and lottery

   The Court of Appeals held in Schroeder v. City of Wilmington that G.S. 160D-1207(c) bars a registration requirement for short-term rentals, while zoning limits on where whole-house lodging may operate stay in effect.^14,28

Estimate what a home could earn

1. 1. 16 CFR Part 464 - Rule on Unfair or Deceptive Fees · Electronic Code of Federal Regulations
2. 2. North Carolina General Statutes Chapter 42A - Vacation Rental Act · North Carolina General Assembly
3. 3. G.S. 160D-1207 - Periodic inspections · North Carolina General Assembly
4. 4. G.S. 105-164.4F - Accommodation rentals · North Carolina General Assembly
5. 5. G.S. 153A-155 - Uniform provisions for room occupancy taxes · North Carolina General Assembly
6. 6. G.S. 105-236 - Penalties · North Carolina General Assembly
7. 7. Sec. 6.4.6. Overnight Lodging (short-term rental) · City of Raleigh Unified Development Ordinance
8. 8. Sec. 10.4.2. Civil Penalty · City of Raleigh Unified Development Ordinance
9. 9. The Rule on Unfair or Deceptive Fees: Frequently Asked Questions · Federal Trade Commission
10. 10. Rentals of Accommodations · North Carolina Department of Revenue
11. 11. Current Sales and Use Tax Rates · North Carolina Department of Revenue
12. 12. Important Notice: Mecklenburg County Sales and Use Tax Increase · North Carolina Department of Revenue
13. 13. Sales and Use Tax Registration · North Carolina Department of Revenue
14. 14. Schroeder v. City of Wilmington, 2022-NCCOA-210 (No. COA21-192) · North Carolina Court of Appeals (opinion filed April 5, 2022)
15. 15. Senate Bill 291 - Regulation of Short-Term Rentals (2025-2026 Session) · North Carolina General Assembly
16. 16. Apply for a homestay permit · City of Asheville
17. 17. City of Asheville Fees and Charges Manual (current year) · City of Asheville Finance Department
18. 18. Short Term Lodging · City of Wilmington
19. 19. Residential Rental Property Registration · City of Charlotte
20. 20. Room Occupancy Tax Return and Instructions · Mecklenburg County Tax Collector
21. 21. Occupancy Tax · Buncombe County
22. 22. Room Occupancy Tax · Wake County Tax Administration
23. 23. Room Occupancy Tax Information · New Hanover County
24. 24. Occupancy Tax · Dare County
25. 25. Hotel / Motel Room Occupancy Tax · Durham County Tax Administration
26. 26. Responsible hosting in the United States · Airbnb Help Center
27. 27. Occupancy tax collection and remittance by Airbnb in North Carolina · Airbnb Help Center
28. 28. Short-Term Rental Regulations after Schroeder · UNC School of Government
29. 29. Charlotte, NC · Airbnb Help Center
30. 30. North Carolina Counties: Occupancy Taxes (September 2025 fact sheet) · North Carolina Association of County Commissioners