The Advocate
June 12, 2026
Advocacy in Action: REALTORS® Delivering Results

NC REALTORS® Champion Housing Solutions at the General Assembly

On June 3, NC REALTORS® traveled to the General Assembly to advocate for one of our association’s highest priorities, increasing housing affordability and availability across North Carolina. As the leading voice for housing, REALTORS® met with lawmakers to discuss solutions that expand housing opportunities and address the state’s growing inventory challenges. 

The primary focus of this year’s legislative meetings was Senate Bill 445-The Regulatory Reform Act, which would require municipalities with populations of 50,000 or more to allow at least one accessory dwelling unit (ADU) on lots containing a single-family detached dwelling in residential zones. Key provisions of the legislation include:

• Prohibits local governments from banning long-term rentals of either the primary residence or ADU.
• Prevents local governments from requiring conditional zoning, imposing minimum parking requirements, restricting utility connections where capacity exists, or charging permitting fees higher than those for similar single-family dwellings.
• Establishes ADU size parameters by prohibiting local governments from setting maximum sizes below 800 square feet or above 1,000 square feet.
• Allows local governments to establish reasonable setback and placement standards and require ADUs to remain smaller than the primary residence.
• Exempts properties subject to private covenants, located in historic districts, designated as National Historic Landmarks, or lacking water and sewer connections.
• Requires municipalities to adopt compliant ordinances by July 1, 2027. If they fail to do so, ADUs would be permitted without local restrictions.

While ADUs alone will not solve our state’s housing challenges, they represent an important and necessary step toward expanding housing options.  

Advocating for Commercial Practitioners

While housing policy remained the primary focus for REALTOR® meetings at the General Assembly, our advocacy efforts also focus on a wide range of issues affecting the real estate industry. 

One notable bill that will benefit Commercial Practitioners is Senate Bill 695-Incent Development Finance District Funding legislation that encourages development by creating a new property tax benefit for qualified developments located within locally approved incentive districts.

Key provisions include:

• Establishes a new property tax exclusion allowing 90% of the appraised value of qualifying property held for sale by a builder within an approved incentive district to be exempt from taxation.
• Defines incentive district as an area designated by a developer, submitted for approval to the local governing body, determined to be eligible for project development financing, and approved by resolution.
• Defines qualified development as land and any unoccupied improvement by a builder, excluding remodeling or renovating existing structures.
• Limits the total land area within incentive districts in a local government unit to no more than 5% of the unit's total area, and requires municipal approval for inclusion of municipal land in a county incentive district.
• Requires municipalities to notify county commissioners before approving an incentive district within a municipality, and allows county commissioners 28 days to disapprove the proposed district by resolution.
• Specifies that the property tax exclusion ends either ten years after the property first receives the benefit or upon sale of the property, whichever occurs first.
• Prohibits property from receiving both the new exclusion and the exclusion under G.S. 105-277.03.
• Applies the changes to taxes imposed for taxable years beginning on or after July 1, 2027.

Stay Engaged

The 2026 Short Session continues to move at a rapid pace, with lawmakers considering a wide range of proposals that could impact housing, property rights, economic development, and real estate transactions. NCR will remain actively engaged throughout this session, advocating for policies that strengthen North Carolina’s housing market. 

Your continued involvement strengthens our collective voice and helps ensure REALTORS® remain at the forefront of shaping policies that support homeownership and the real estate industry. 

Be sure to watch for future editions of the Advocate for the latest legislative developments and General Assembly updates.

NCREC Proposed Rule Changes

There is still time to submit comments regarding the NC Real Estate Commission proposed rule change to eliminate single agent dual agency. View the letter submitted by NCR.

The public comment period will remain open through July 3, 2026. Written comments may be submitted to public.comment@ncrec.gov.

NAR Legislative Meetings

Have questions about our upcoming Hill Visits?  View the latest meeting schedules and NC REALTORS® June 17 lunch details. As a reminder, the Region 4 Reception will be held Wednesday, June 17, from 5:30PM-6:30PM at the Walter E. Washington Convention Center, Room 144ABC, Level 1. 

If you have any questions or comments about the Advocate, please contact Pam Melton, Vice President of Advocacy.