Renting Out Your Property in North Dakota: A Landlord's Guide
Renting out property in North Dakota requires understanding specific state laws that govern the landlord-tenant relationship, including security deposit limits, notice requirements, and maintenance obligations. North Dakota landlords must comply with the state's Century Code Chapter 47-16, which outlines rights and responsibilities for both parties in residential rental agreements.
Failure to comply with North Dakota's landlord-tenant laws can result in legal disputes, financial penalties, and difficulty removing problematic tenants. Even small landlords with single properties must adhere to all state regulations to protect their investment and avoid costly litigation.
Key Considerations
Scenarios
Decisions
Scenarios
Decisions
Scenarios
Decisions
Relevant Documents
Landlord's Rules and Regulations
A supplementary document to the lease that outlines specific rules for the property, such as quiet hours, guest policies, and maintenance responsibilities.
Move-In/Move-Out Inspection Checklist
A document that records the condition of the rental property before the tenant moves in and after they move out, which helps determine if any damage occurred during the tenancy.
Notice of Entry Form
A document used by landlords to notify tenants of their intent to enter the rental property, typically required by state law with specific advance notice periods.
Rental Application Form
A form used to collect information about potential tenants, including employment history, income, references, and authorization for background and credit checks.
Residential Lease Agreement
A legally binding contract between a landlord and tenant that outlines the terms and conditions of the rental arrangement, including rent amount, security deposit, lease duration, and other important provisions.
Security Deposit Receipt
A document acknowledging the landlord's receipt of the security deposit, including the amount, date received, and where the deposit will be held.
Relevant Laws
North Dakota Century Code Chapter 47-16 (Leasing of Real Property)
This is the primary statute governing landlord-tenant relationships in North Dakota. It covers essential aspects of rental agreements, security deposits, landlord obligations, and tenant rights. Property owners must understand these laws before renting out their property to ensure compliance with state regulations.
North Dakota Security Deposit Limits and Return (N.D. Cent. Code § 47-16-07.1)
North Dakota law limits security deposits to one month's rent for unfurnished units and limits the time landlords have to return deposits (30 days after termination of the lease). Property owners must provide an itemized list of deductions if withholding any portion of the deposit.
North Dakota Landlord's Duty to Maintain Premises (N.D. Cent. Code § 47-16-13.1)
Property owners in North Dakota must maintain their rental properties in a fit and habitable condition, including maintaining electrical, plumbing, sanitary, heating, and air-conditioning systems. This law outlines the landlord's repair and maintenance responsibilities.
North Dakota Eviction Laws (N.D. Cent. Code § 47-32)
This statute outlines the legal process for evicting tenants in North Dakota. Property owners must follow specific procedures and notice requirements before removing a tenant, even for non-payment of rent or lease violations.
North Dakota Fair Housing Act (N.D. Cent. Code § 14-02.5)
This law prohibits discrimination in housing based on race, color, religion, sex, disability, age, familial status, national origin, or marital status. Property owners must understand fair housing requirements to avoid discrimination claims when advertising, selecting tenants, or managing rental properties.
North Dakota Required Landlord Disclosures (N.D. Cent. Code § 47-16-07.2)
Property owners in North Dakota must disclose certain information to tenants, including the identity of anyone authorized to manage the property and receive notices. This law ensures tenants know who to contact for maintenance issues or legal notices.
North Dakota Quiet Enjoyment Laws (N.D. Cent. Code § 47-16-08)
This statute establishes the tenant's right to quiet enjoyment of the rental property. Property owners must understand access limitations and notice requirements before entering a tenant's unit, except in emergencies.
Regional Variances
Major Cities in North Dakota
Fargo has additional rental property regulations including mandatory rental registration and inspection programs. Landlords must register their rental properties with the city and undergo periodic inspections. Fargo also has specific noise ordinances and occupancy limits that may affect rental agreements.
As the state capital, Bismarck enforces stricter building code compliance for rental properties. Landlords must obtain a Certificate of Occupancy before renting out properties. The city also has specific requirements for smoke detectors, carbon monoxide detectors, and fire safety measures.
Grand Forks has implemented a rental licensing program requiring all rental properties to be licensed with the city. The city also has specific regulations regarding student housing due to the presence of the University of North Dakota, including parking restrictions and occupancy limits in neighborhoods near campus.
Minot has unique flood zone considerations due to past flooding events. Landlords in designated flood zones must disclose this information to tenants and may face additional insurance requirements. The city also has specific regulations for properties near Minot Air Force Base.
Rural Areas and Counties
Due to oil industry activity, Williams County has specific regulations for workforce housing and temporary accommodations. Short-term rentals face different requirements than traditional long-term leases, including potential commercial zoning requirements.
Outside of Fargo city limits but within Cass County, rental properties may be subject to different inspection requirements and property tax assessments. The county has specific regulations regarding agricultural land that is partially used for rental housing.
Rental properties on or near tribal lands (such as the Fort Berthold, Standing Rock, or Turtle Mountain reservations) may be subject to tribal jurisdiction and regulations in addition to or instead of state laws. Consultation with tribal authorities is recommended before establishing rental agreements in these areas.
Communities along the Minnesota or Montana borders may have special considerations for landlords who own properties in multiple states. Different tax reporting requirements and potential dual licensing may be necessary for landlords operating across state lines.
Suggested Compliance Checklist
Research North Dakota Landlord-Tenant Laws
1 days after startingFamiliarize yourself with North Dakota's landlord-tenant laws, particularly North Dakota Century Code Chapter 47-16 (Leasing of Property) and Chapter 47-16.1 (Residential Landlord and Tenant Act). Understanding these laws will help you avoid legal issues and ensure compliance with state regulations regarding security deposits, lease terminations, evictions, and maintenance responsibilities.
Obtain Required Business Licenses
7 days after startingCheck with your local city or county government to determine if you need a business license or rental permit to operate a rental property in your area. Requirements vary by municipality in North Dakota, so contact your local government offices to ensure compliance with local regulations.
Prepare a Rental Application Form
14 days after startingCreate a comprehensive rental application to screen potential tenants. Include sections for personal information, rental history, employment information, income verification, references, and authorization for background and credit checks. Ensure your screening process complies with Fair Housing laws, which prohibit discrimination based on protected characteristics.
Create a Residential Lease Agreement
21 days after startingDraft a legally compliant lease agreement that includes all terms and conditions of the tenancy. In North Dakota, be sure to include: names of all parties, property description, rental term, rent amount and due date, security deposit amount and terms, maintenance responsibilities, utility payment responsibilities, pet policies, and other rules. North Dakota law does not mandate specific lease provisions, but certain clauses (like waiving rights to jury trials) may be unenforceable.
Prepare a Lead-Based Paint Disclosure Form
21 days after startingFederal law requires landlords of properties built before 1978 to disclose known information about lead-based paint and lead-based paint hazards before leases take effect. Provide tenants with an EPA-approved pamphlet on identifying and managing lead-based paint hazards and keep signed acknowledgment for at least three years from the beginning of the tenancy.
Create a Move-In/Move-Out Inspection Checklist
21 days after startingDevelop a detailed checklist to document the condition of the property at move-in and move-out. This helps avoid disputes about security deposit deductions. In North Dakota, landlords must provide a written statement concerning the condition of the premises at the beginning of the tenancy if a security deposit is collected.
Prepare a Security Deposit Receipt
21 days after startingCreate a receipt for security deposits. North Dakota law limits security deposits to one month's rent for unfurnished units and one and a half month's rent for furnished units. Additional pet deposits may be collected. The receipt should acknowledge the amount received and explain how and when the deposit will be returned.
Draft Landlord's Rules and Regulations
21 days after startingCreate a document outlining house rules and regulations that are not included in the lease but that tenants must follow. This may include quiet hours, common area usage, trash disposal procedures, parking rules, etc. In North Dakota, rules must be reasonable, apply to all tenants, and be clearly communicated at the time of lease signing.
Create a Notice of Entry Form
21 days after startingPrepare a form to notify tenants when you need to enter the rental property. North Dakota law requires landlords to provide reasonable notice before entering a tenant's unit (typically 24 hours is considered reasonable) except in emergencies. This form helps document your compliance with privacy requirements.
Purchase Landlord Insurance
30 days after startingObtain appropriate landlord insurance coverage for your rental property. Standard homeowner's insurance typically doesn't cover rental activities. Landlord insurance should include property damage, liability coverage, and potentially loss of rental income coverage. While not legally required in North Dakota, it provides essential protection against financial losses.
Set Up Property Tax Payments
30 days after startingEnsure you're properly registered to pay property taxes on your rental property. In North Dakota, property taxes are typically due annually. Contact your county tax assessor's office to confirm your property is correctly classified as a rental property, as this may affect your tax rate.
Establish a System for Security Deposit Management
30 days after startingCreate a system for properly handling security deposits. North Dakota law requires landlords to return security deposits within 30 days after termination of the lease and surrender of the premises. You must provide an itemized list of any deductions. Consider setting up a separate bank account for security deposits to avoid commingling funds.
Develop a Maintenance and Repair Protocol
30 days after startingEstablish procedures for handling maintenance requests and emergency repairs. North Dakota landlords must maintain fit and habitable premises, including maintaining electrical, plumbing, sanitary, heating, and air-conditioning systems. Create a system for tenants to report issues and for tracking the resolution of maintenance problems.
Register with North Dakota Tax Department
45 days after startingIf applicable, register with the North Dakota Tax Department for any state tax obligations related to rental income. While North Dakota does not have a specific rental tax, rental income is subject to state income tax. Consult with a tax professional about potential deductions and proper reporting of rental income.
Schedule Property Inspections
60 days after startingPlan regular inspections of your rental property to ensure it remains in good condition and complies with health and safety standards. In North Dakota, landlords must provide reasonable notice before entering the property. Regular inspections help identify maintenance issues before they become serious problems.
| Task | Description | Document | Days after starting |
|---|---|---|---|
| Research North Dakota Landlord-Tenant Laws | Familiarize yourself with North Dakota's landlord-tenant laws, particularly North Dakota Century Code Chapter 47-16 (Leasing of Property) and Chapter 47-16.1 (Residential Landlord and Tenant Act). Understanding these laws will help you avoid legal issues and ensure compliance with state regulations regarding security deposits, lease terminations, evictions, and maintenance responsibilities. | - | 1 |
| Obtain Required Business Licenses | Check with your local city or county government to determine if you need a business license or rental permit to operate a rental property in your area. Requirements vary by municipality in North Dakota, so contact your local government offices to ensure compliance with local regulations. | - | 7 |
| Prepare a Rental Application Form | Create a comprehensive rental application to screen potential tenants. Include sections for personal information, rental history, employment information, income verification, references, and authorization for background and credit checks. Ensure your screening process complies with Fair Housing laws, which prohibit discrimination based on protected characteristics. | Rental Application Form | 14 |
| Create a Residential Lease Agreement | Draft a legally compliant lease agreement that includes all terms and conditions of the tenancy. In North Dakota, be sure to include: names of all parties, property description, rental term, rent amount and due date, security deposit amount and terms, maintenance responsibilities, utility payment responsibilities, pet policies, and other rules. North Dakota law does not mandate specific lease provisions, but certain clauses (like waiving rights to jury trials) may be unenforceable. | Residential Lease Agreement | 21 |
| Prepare a Lead-Based Paint Disclosure Form | Federal law requires landlords of properties built before 1978 to disclose known information about lead-based paint and lead-based paint hazards before leases take effect. Provide tenants with an EPA-approved pamphlet on identifying and managing lead-based paint hazards and keep signed acknowledgment for at least three years from the beginning of the tenancy. | Lead-Based Paint Disclosure Form | 21 |
| Create a Move-In/Move-Out Inspection Checklist | Develop a detailed checklist to document the condition of the property at move-in and move-out. This helps avoid disputes about security deposit deductions. In North Dakota, landlords must provide a written statement concerning the condition of the premises at the beginning of the tenancy if a security deposit is collected. | Move-In/Move-Out Inspection Checklist | 21 |
| Prepare a Security Deposit Receipt | Create a receipt for security deposits. North Dakota law limits security deposits to one month's rent for unfurnished units and one and a half month's rent for furnished units. Additional pet deposits may be collected. The receipt should acknowledge the amount received and explain how and when the deposit will be returned. | Security Deposit Receipt | 21 |
| Draft Landlord's Rules and Regulations | Create a document outlining house rules and regulations that are not included in the lease but that tenants must follow. This may include quiet hours, common area usage, trash disposal procedures, parking rules, etc. In North Dakota, rules must be reasonable, apply to all tenants, and be clearly communicated at the time of lease signing. | Landlord's Rules and Regulations | 21 |
| Create a Notice of Entry Form | Prepare a form to notify tenants when you need to enter the rental property. North Dakota law requires landlords to provide reasonable notice before entering a tenant's unit (typically 24 hours is considered reasonable) except in emergencies. This form helps document your compliance with privacy requirements. | Notice of Entry Form | 21 |
| Purchase Landlord Insurance | Obtain appropriate landlord insurance coverage for your rental property. Standard homeowner's insurance typically doesn't cover rental activities. Landlord insurance should include property damage, liability coverage, and potentially loss of rental income coverage. While not legally required in North Dakota, it provides essential protection against financial losses. | - | 30 |
| Set Up Property Tax Payments | Ensure you're properly registered to pay property taxes on your rental property. In North Dakota, property taxes are typically due annually. Contact your county tax assessor's office to confirm your property is correctly classified as a rental property, as this may affect your tax rate. | - | 30 |
| Establish a System for Security Deposit Management | Create a system for properly handling security deposits. North Dakota law requires landlords to return security deposits within 30 days after termination of the lease and surrender of the premises. You must provide an itemized list of any deductions. Consider setting up a separate bank account for security deposits to avoid commingling funds. | - | 30 |
| Develop a Maintenance and Repair Protocol | Establish procedures for handling maintenance requests and emergency repairs. North Dakota landlords must maintain fit and habitable premises, including maintaining electrical, plumbing, sanitary, heating, and air-conditioning systems. Create a system for tenants to report issues and for tracking the resolution of maintenance problems. | - | 30 |
| Register with North Dakota Tax Department | If applicable, register with the North Dakota Tax Department for any state tax obligations related to rental income. While North Dakota does not have a specific rental tax, rental income is subject to state income tax. Consult with a tax professional about potential deductions and proper reporting of rental income. | - | 45 |
| Schedule Property Inspections | Plan regular inspections of your rental property to ensure it remains in good condition and complies with health and safety standards. In North Dakota, landlords must provide reasonable notice before entering the property. Regular inspections help identify maintenance issues before they become serious problems. | - | 60 |
Frequently Asked Questions
In North Dakota, a valid lease agreement should include: names of all parties, property address, lease term, rent amount and due date, security deposit amount and terms, maintenance responsibilities, pet policies, and signatures of all parties. While oral leases are technically legal for terms under one year, written leases are strongly recommended to avoid disputes. North Dakota doesn't require specific lease disclosures that some other states do, but federal disclosures like lead-based paint for pre-1978 properties are still required.
North Dakota law limits security deposits to one month's rent for unfurnished units and one and a half month's rent for furnished units. For tenants with service animals or support animals, you cannot charge an additional security deposit based on the presence of these animals. You must return the security deposit within 30 days after the tenant vacates the property, along with an itemized list of any deductions.
North Dakota law requires landlords to provide reasonable notice before entering a rental property, though the statute doesn't specify an exact time period. Generally, 24 hours is considered reasonable notice. You may enter without notice only in emergencies. It's best practice to include specific entry terms in your lease agreement to avoid disputes. Tenants have a right to quiet enjoyment of the property, and repeated unnecessary entries could be considered harassment.
As a North Dakota landlord, you must maintain the property in a habitable condition, including functioning plumbing, electrical systems, heating, and structural elements. You must comply with all building and housing codes affecting health and safety. You're responsible for common areas, providing trash receptacles, and supplying running water and reasonable heat. Tenants are responsible for keeping their unit clean and not damaging the property beyond normal wear and tear.
In North Dakota, eviction requires proper legal process. For nonpayment of rent, you must provide a 3-day written notice to pay or quit. For lease violations, a 3-day notice is required. If the tenant doesn't comply, you must file an eviction lawsuit (formally called an action for eviction). Self-help evictions (changing locks, removing belongings, shutting off utilities) are illegal. The court process typically takes 2-4 weeks, and only a sheriff can physically remove a tenant after a court order.
North Dakota does not have rent control laws. As a landlord, you can set rent at any amount you choose and increase it upon lease renewal. However, during an active lease term, you cannot raise the rent unless the lease specifically allows for it. For month-to-month tenancies, you must provide at least 30 days' written notice before implementing a rent increase.
North Dakota requires minimal state-specific disclosures. However, you must comply with federal disclosure requirements, including the lead-based paint disclosure for properties built before 1978. While not legally required, it's good practice to disclose known defects, flood risks, or environmental hazards. You should also provide information about where the security deposit is held, though North Dakota doesn't require it to be in a separate account.
Yes, you can prohibit pets in your North Dakota rental property. Your lease should clearly state your pet policy. However, service animals and emotional support animals are not considered pets under fair housing laws, and you must make reasonable accommodations for them, regardless of your pet policy. You cannot charge additional pet deposits or fees for service animals, though tenants remain responsible for any damage caused by their assistance animals.
For fixed-term leases in North Dakota, the lease automatically terminates on the end date unless renewed. For month-to-month tenancies, either party must provide at least 30 days' written notice. If a tenant breaks a lease early, they're typically responsible for rent until the lease ends or until you re-rent the property. North Dakota requires landlords to make reasonable efforts to re-rent the property to mitigate damages when a tenant breaks a lease.
North Dakota landlords must comply with both federal and state fair housing laws. The federal Fair Housing Act prohibits discrimination based on race, color, national origin, religion, sex, familial status, and disability. North Dakota law additionally prohibits discrimination based on age, marital status, and receipt of public assistance. You cannot refuse to rent, charge different rates, or apply different terms based on these protected characteristics. Violations can result in significant penalties and legal action.