NC HOA Laws: What Every Homeowner Should Know

Chapter 47F - North Carolina Planned Community Act found in Chapter 47F of the North Carolina General Statutes, outlines how homeowners associations (HOAs) must be established, governed, and operated within the state. If your planned community was created on or after January 1, 1999, this Act applies to your HOA. 

There are some exceptions. Communities with 20 or fewer lots are generally exempt from the Act, unless they choose to adopt its provisions by including them in their governing documents. However, even if a community does not opt in, certain sections of the Act—such as those related to HOA powers, fines, and the display of flags or political signs—may still apply. 

The Act is divided into three main articles, each covering a different aspect of HOA governance:

• Article 1 – General Provisions. 
• Article 2 – Creation, Alteration, and Termination of Planned Communities.
• Article 3 – Management of Planned Community. 

In North Carolina, two primary laws govern condominium associations, depending on when the association was created. 

1. North Carolina Condominium Act (Chapter 47C) 

This Act applies to condominium associations established on or after October 1, 1986. Found in Chapter 47C of the North Carolina General Statutes, it outlines the legal requirements for creating, managing, and operating condo communities. 

Even if a condominium association was created before that date, certain parts of the Act may still apply—unless the association has explicitly opted out in its declaration. 

The Condominium Act is divided into four main articles: 

● Article 1 – General Provisions. 

● Article 2 – Creation, Alteration, and Termination of Condominiums. 

● Article 3 – Management of the Condominium. 

● Article 4 – Protection of Purchasers. 

This older law applies to condominium associations formed before October 1, 1986. While it offers more general guidance compared to Chapter 47C, it still provides the legal foundation for managing older condo communities. 

The Unit Ownership Act includes two key articles: 

● Article 1 – Unit Ownership Act. 

● Article 2 – Renters in Conversion Buildings Protected. 

Navigating the complex landscape of federal and North Carolina HOA laws can be overwhelming for any board. Yet, staying compliant is essential to protecting your community and avoiding legal pitfalls. If your association is struggling to keep up with the ever-changing regulations, it may be time to partner with professionals who can help. 

At PAMS, we offer comprehensive HOA management services—including guidance on legal compliance—for communities across North Carolina. Call us today at 910-973-1427 or contact us online to request a proposal and see how we can support your association. 

• Article 1 – General Provisions.
• Article 2 – Organization.
• Article 3 – Purposes and Powers.
• Article 4 – Names.
• Article 5 – Office and Agent.
• Article 6 – Members and Memberships.
• Article 7 – Members’ Meetings and Voting; Derivative Proceedings.
• Article 8 – Directors and Officers.
• Article 10 – Amendment of Articles of Incorporation and Bylaws.
• Article 11 – Merger.
• Article 11A – Conversions.
• Article 12 – Transfer of Assets.
• Article 13 – Distributions.
• Article 14 – Dissolution.
• Article 14A – Reorganization.
• Article 15 – Foreign Corporations.
• Article 16 – Records and Reports.
• Article 17 – Transition and Curative Provisions.