HB 94 allows disabled veterans and their unremarried surviving spouses to prequalify for the disabled veteran property tax homestead exclusion. This means individuals can apply to determine their eligibility for the tax benefit before they purchase a permanent residence. Applicants submit a prequalification form with their disability certification, and the county assessor must notify them of their eligibility within 30 days. The bill aims to help taxpayers and lenders account for this tax relief when making home purchase decisions. After prequalification, a separate application for the exclusion is still required once a permanent residence is acquired.
This bill increases North Carolina's income limit for the property tax homestead exclusion for elderly or disabled homeowners from $25,000 to $48,000, effective for taxes due in 2025. It applies to qualifying homeowners whose income would otherwise disqualify them from the exclusion. The new limit will automatically adjust annually based on Social Security cost-of-living adjustments, rounded to the nearest $100. This change directly affects low-to-moderate-income elderly or disabled homeowners seeking property tax relief.
SB 184 allows North Carolina local governments to exempt properties being developed for affordable housing from system development fees (such as those for water and sewer infrastructure). It requires local units to establish their own criteria for determining which housing projects qualify as "affordable" for the exemption. The bill does not change existing fee structures but gives localities flexibility to support affordable housing development. This directly affects developers building affordable housing projects and local governments that set these fees.
SB 432 prohibits large business entities from purchasing 100 or more single-family homes in qualifying counties (population over 150,000) for rental use. It directly affects real estate investment firms and corporations that buy homes solely as rentals, aiming to prevent artificial inflation of home prices by limiting excessive bulk acquisitions. The law defines "single-family home" as detached, semi-detached, or townhomes meeting specific separation criteria and imposes civil penalties of up to $100 per day per home for violations. Enforcement is handled by the Attorney General or individuals through civil lawsuits, with remedies including damages, attorney fees, and joint liability for affiliated entities. The bill applies to home purchases occurring on or after its effective date.
SB 708, the "Working Families Act," directly affects low- and middle-income North Carolina families by reducing child care costs, increasing tax credits, raising wages, and providing housing assistance. It cuts parent copayments for subsidized child care to 7% of gross income (down from 10%), reenacts a refundable child tax credit with income-based payments up to $250 per child, and raises the statewide minimum wage to $15 per hour starting September 1, 2025 - while allowing cities to set higher local rates. The bill also increases income limits for property tax relief and creates a homebuyers' program offering assistance to first-time public servant homebuyers (including teachers, firefighters, police, and EMTs). These changes aim to reduce living costs and support working families through concrete financial adjustments.
HB 913 aims to hold local governments accountable for development decisions by allowing or mandating the recovery of attorneys' fees and, in some cases, punitive damages for parties who successfully sue them. It directly affects local governments and individuals or entities involved in development projects. The bill mandates attorneys' fees if a local government intentionally violates development laws, intentionally delays approvals, or acts deceptively to provoke legal action. Additionally, punitive damages, up to ten times the proven harm, can be awarded if a local government acts in a flagrantly unfair or deceptive manner with the intent to cause legal action. However, local governments are protected from these awards if they acted in reasonable reliance on court orders or Attorney General opinions.
HB 118 modifies North Carolina's property tax exemption for disabled veterans, replacing a flat $45,000 exclusion with a percentage-based system tied to the veteran's VA disability rating. It directly affects veterans with a 50% or higher service-connected disability rating (or surviving spouses under specific conditions), allowing them to exclude a portion of their home's appraised value from property taxes - equal to their disability percentage. For example, a veteran with a 70% disability rating would exclude 70% of their home's value from taxes. The bill takes effect for taxes due in 2025 and prohibits combining this relief with other property tax exemptions.
