North Carolina · Chapter 47F
North Carolina Planned Community Act — Plain-English Summary
Every section of this body of law translated into plain English for North Carolina board members and homeowners.
General Provisions
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§47F-1-101
Names this Chapter the North Carolina Planned Community Act. Post-January 1, 1999 HOAs and townhome communities live here — not under Chapter 47C (condos) or…
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§47F-1-102
This Chapter applies to planned communities created in North Carolina on or after January 1, 1999, except a community of 20 lots or fewer (including lots tha…
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§47F-1-103
Defines planned community, lot, common elements, association, declarant, declaration, executive board, and the other words this Chapter uses. Those definitio…
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§47F-1-104
Except where a specific section says otherwise, the provisions of this Chapter may not be varied by the declaration or the bylaws, and the rights it confers …
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§47F-1-105
Each lot is separately taxed. Common elements owned by the association are not taxed separately from the lots unless local law provides otherwise as this sec…
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§47F-1-106
A local ordinance or building code may not prohibit the planned-community form of ownership or impose a requirement on a planned community that it would not …
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§47F-1-107
If a lot or common element is taken by eminent domain, interests and common-expense liabilities are reallocated and the award is distributed as this section …
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§47F-1-108
The principles of law and equity, including the North Carolina Nonprofit Corporation Act (Chapter 55A), supplement this Chapter unless they conflict with it.…
Creation, Alteration, and Termination of Planned Communities
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§47F-2-101
A planned community is created by recording a declaration in the county where the property sits. The declaration is the document that imposes the obligation …
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§47F-2-103
The declaration and bylaws are construed together. If they conflict, the declaration controls. Title to a lot and the common elements is not affected by a fa…
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§47F-2-117
Except for the listed declarant or owner-executed amendments, the declaration may be amended only by lot owners of lots to which at least 67 percent of the v…
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§47F-2-118
A planned community may be terminated only by agreement of lot owners of lots to which at least 80 percent of the votes are allocated, or any larger percenta…
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§47F-2-120
If the declaration provides, a master association may exercise powers this Chapter gives an owners' association. Owners in a community whose powers have been…
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§47F-2-121
Two or more planned communities may merge or consolidate by agreement of lot owners as this section provides. The resulting association steps into the merged…
Management of Planned Community
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§47F-3-101
An owners' association must be organized no later than the date the first lot is conveyed. Membership consists exclusively of all lot owners. Most North Caro…
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§47F-3-102
Unless the articles or declaration say otherwise, the association may adopt budgets (including reserves), collect assessments, hire managers, sue, and regula…
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§47F-3-103
Officers and board members must discharge their duties in good faith and meet the Chapter 55A director and officer standards. Within 30 days after the board …
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§47F-3-104
Special declarant rights transfer only by a recorded instrument as this section requires. A successor declarant's remaining rights and liabilities follow the…
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§47F-3-105
If entered into before the board elected by the lot owners takes office, specified declarant-related contracts and leases may be terminated by the associatio…
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§47F-3-106
The bylaws must provide for the number, qualifications, powers, and terms of the executive board, election of officers, and the other matters this section li…
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§47F-3-107
Except as the declaration provides, the association maintains the common elements and the lot owner maintains the lot. Owner-caused damage can be assessed ex…
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§47F-3-107.1
Unless the declaration sets a specific procedure, a hearing before the executive board or an independent owner panel is required before a fine or a suspensio…
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§47F-3-108
The association meets at least once a year. Special meetings may be called by the president, a majority of the executive board, or lot owners with 10 percent…
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§47F-3-109
Unless the bylaws provide otherwise, an owners' meeting has a quorum if persons entitled to cast 10 percent of the votes that may be cast for the executive b…
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§47F-3-110
Multiple owners of a lot vote by majority-in-interest unless the instruments say otherwise. A proxy must be dated and terminates 11 months after its date unl…
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§47F-3-111
An action in tort or contract arising out of an act or omission of the association is brought against the association, not against individual lot owners. A l…
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§47F-3-112
Portions of the common elements may be conveyed or subjected to a security interest by the association if persons entitled to cast at least 80 percent of the…
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§47F-3-113
Beginning no later than the first conveyance to someone other than the declarant, the association must maintain, to the extent reasonably available, property…
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§47F-3-114
Unless the declaration provides otherwise, surplus funds remaining after common expenses and any prepayment of reserves must be paid to the lot owners in pro…
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§47F-3-115
Until the association levies an assessment, the declarant pays all common expenses. After that, assessments must be made at least annually, in the declaratio…
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§47F-3-116
An assessment unpaid 30 days or longer becomes a lien when a claim of lien is filed with the clerk of superior court. At least 15 days before filing, the ass…
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§47F-3-116.1
Validates certain earlier nonjudicial association-lien foreclosure proceedings and sales that met the conditions this section lists.
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§47F-3-118
Financial and other records, including meeting records, must be reasonably available to any lot owner and the owner's agents as the bylaws and Chapter 55A re…
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§47F-3-119
If the association is designated as trustee of insurance proceeds, condemnation awards, or other receipts, it holds them for the lot owners and lienholders a…
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§47F-3-120
Except as provided in the lien section (§3-116), in an action to enforce the articles, declaration, bylaws, or rules, the court may award reasonable attorney…
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§47F-3-121
A restriction may not be read to ban a U.S. or North Carolina flag of up to four by six feet displayed patriotically on property the owner owns exclusively, …
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§47F-3-122
A covenant may not be read to require irrigation during a designated drought when water-conservation measures are in force, unless the covenant uses the exac…
Frequently asked about Chapter 47F
- What is North Carolina Chapter 47F?
- North Carolina Chapter 47F — the North Carolina Planned Community Act — is the body of law that governs how every North Carolina HOA is structured, operated, and held accountable. It covers governance, voting, records, assessments, fining, and most of the day-to-day legal questions a board will face.
- How many sections are in Chapter 47F?
- Chapter 47F contains 37 sections in this reference. Each is summarized in plain English on its own page, with links to the official text at ncleg.gov.
- Is the summary on this site legal advice?
- No. These pages are plain-English summaries prepared by SoShiny for board members and managers. For binding legal advice or interpretation of how a section applies to your specific situation, consult a North Carolina-licensed attorney.
- How often does North Carolina Chapter 47F change?
- The North Carolina General Assembly can amend any chapter in any session. We update these summaries when we re-import the official text — see the 'Last updated' date on each section page.
- Does SoShiny enforce Chapter 47F for me?
- No software 'enforces' a statute — but SoShiny is built around it. Voting, meeting minutes, records access, fining workflow, and audit trails are designed to meet this body of law's requirements out of the box, so the board can demonstrate good-faith compliance if challenged.
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