Sen. Hanig files bill in North Carolina Senate to limit city regulation of short-term rentals

A new bill filed by Sen. Hanig seeks to limit municipal regulations on short-term rentals while allowing certain permit requirements to address health and safety concerns, according to the North Carolina State Senate.

The bill, filed as SB 291 on March 13 during the 2025 regular session, was formally listed with the short title: ‘Regulation of Short-Term Rentals.’

The following is our breakdown, based on the actual bill text, and may include interpretation to clarify its provisions.

In essence, this bill limits the ability of cities in North Carolina to regulate short-term rentals, such as those found on platforms like Airbnb or VRBO. It prohibits cities from enacting ordinances that ban residential or accessory dwelling units as short-term rentals, place time constraints on rental duration, require owner occupancy during rental periods, classify these rentals as commercial use, or limit short-term rental marketplaces. However, cities can regulate short-term rentals by requiring permits, which can be revoked after five health and safety violations within a year but also provide renters an opportunity to resolve issues. These regulations can include occupant limits, parking plans, zoning requirements, and compliance with city ordinances. The bill mandates that copies or summaries of relevant city ordinances are included in rental agreements and requires a lodging operator or authorized agent to be within a 50-mile radius during the rental period. This act takes effect when it becomes law.

Of the three sponsors of this bill, Timothy D. Moffitt proposed the most bills (32) during the 2025 regular session.

Bills in North Carolina follow a multi-step process before becoming law. A lawmaker starts by filing a bill, which is assigned to a committee for review. The bill must be read three times in each chamber. If one chamber changes the bill after the other passes it, both must agree on the final version. Once both chambers approve the same bill, it goes to the governor, who has 10 days (or 30 if the legislature is not in session) to sign, veto, or let it become law without a signature.

You can read more about the bills and other measures here.

Hanig, a Republican, was elected to the North Carolina State Senate in 2025 to represent the state’s 1st Senate district, replacing previous state senator Norman Sanderson.