Need a Home Services / Remodeling Contract in North Carolina? AroundWire Can Help

In North Carolina, contracts for home services and remodeling are governed by a combination of state statutes and local ordinances that emphasize consumer protection and contractor accountability. Written contracts are strongly recommended—and often required—for projects exceeding $30,000, per the North Carolina General Statutes (N.C.G.S. § 87-1), and must clearly outline scope of work, materials, timelines, total cost, and payment schedules. Contractors working on jobs over $30,000 must hold a valid North Carolina General Contractor’s License, and subcontractors may require trade-specific licenses. State law prohibits unfair or deceptive trade practices (N.C.G.S. § 75-1.1), so transparent disclosures regarding materials, warranties, and change orders are critical. Insurance requirements typically include general liability and workers’ compensation coverage; clients often request proof before work begins. Standard payment terms involve an initial deposit (commonly capped at 10–20%), with subsequent payments tied to project milestones, but “pay-when-paid” clauses should be clearly defined to avoid disputes. Risk factors include lien rights—contractors must provide pre-lien notices when applicable—and permitting compliance, as unpermitted work can void contracts and lead to penalties. Dispute resolution often favors mediation or arbitration over litigation, and contracts may reference the North Carolina Homeowners Recovery Fund for recourse in cases of contractor insolvency or fraud. Local practices may also require referencing municipal codes or homeowners’ association guidelines within the contract documentation.