North Carolina 2025-2026 Regular Session

North Carolina House Bill H372

Introduced
3/11/25  
Refer
3/12/25  
Report Pass
4/1/25  
Refer
4/1/25  
Report Pass
4/15/25  
Refer
4/15/25  
Report Pass
4/28/25  
Engrossed
4/30/25  
Refer
4/30/25  
Refer
6/9/25  
Report Pass
6/11/25  

Caption

Home-Based Business Fairness/HOA Revisions

Impact

The legislation is anticipated to significantly impact local governance and business operations. By preventing local governments from imposing blanket bans on no-impact home-based businesses, the bill fosters a more conducive environment for entrepreneurship. However, it also allows cities to impose necessary regulations primarily geared toward public health and safety. This balance aims to protect both individual economic interests and community welfare, though it may lead to legal disputes between homeowners and local authorities regarding the scope of permissible regulations.

Summary

House Bill 372, known as the Home-Based Business Fairness/HOA Revisions Act, seeks to enhance the regulatory framework around home-based businesses in North Carolina. The bill specifies that cities cannot prohibit certain home-based businesses within their jurisdiction unless reasonable regulations are established that ensure these businesses are compatible with residential areas. It aims to empower individuals operating no-impact home-based businesses by minimizing regulatory barriers associated with local ordinances, thereby promoting economic opportunity in residential sectors.

Sentiment

The sentiment surrounding HB 372 appears to lean towards support among business advocates and proponents of economic development, while raising concerns among some local governance advocates and homeowners associations. Supporters believe that the bill will alleviate unnecessary restrictions that can hinder economic growth and job creation. Conversely, critics fear that the bill could undermine local decision-making about land use and reduce municipalities' ability to tailor regulations to their unique community needs.

Contention

A notable point of contention regarding the bill centers around the authority it gives to homeowners regarding business activities in residential settings. While advocates argue that it is essential for fostering local entrepreneurship, opponents assert that it could lead to an influx of commercial activities that disrupt neighborhood dynamics. Furthermore, the provision for mandatory prelitigation mediation in conflicts between homeowners associations and members raises questions about the effectiveness and fairness of such measures in resolving disputes. Overall, the passage of this bill signifies a shifting balance between state-level economic policies and local governance issues.

Companion Bills

No companion bills found.

Previously Filed As

NC H542

HOA Revisions/Foreclosure Trustee Auctions

NC S420

Homebuyer Fairness & Protection Act

NC S810

Homebuyer Fairness & Protection Act

NC H551

Landlord-Tenant and HOA Changes

NC S553

Landlord-Tenant and HOA Changes

NC H959

Various Changes to Homeowners' Assoc. Laws

NC S423

Homeowner Solar Expansion Act

NC H488

Code Council Reorg. and Var. Code Amend

NC H600

Regulatory Reform Act of 2023

NC H574

Fairness in Women's Sports Act

Similar Bills

NC S378

HOA Revisions

NC H444

Homeowners Association Reform Bill

NC H542

HOA Revisions/Foreclosure Trustee Auctions

NC H959

Various Changes to Homeowners' Assoc. Laws

NC S312

Changes to Liens and Foreclosures by HOAs

NC H805

Prevent Abusive HOA Foreclosure Practices

NC H1034

Nonjudicial Foreclosure of Timeshare Liens

MN HF4485

Homeowner associations; property management company practices prohibited, and association conduct prohibited.