NC S728

Establishes a zero-interest loan program through the North Carolina Housing Finance Agency to provide up to $5,000 per eligible small-scale landlord experiencing COVID-19 economic hardship, with loans capped at 66 months.

Defines eligible landlords as those with no more than 25 existing tenants in the state who rely primarily on rental income, with only one loan and one applicant per household allowed.

Requires loan funds be used for employee compensation, mortgage, rent, utilities, and operating costs, with repayment commencing upon expiration of the State of Emergency or occurrence of triggering events including lease violations or housing code violations.

Mandates landlords receiving loans must renew month-to-month leases during the emergency, freeze rents, waive late fees, and forgive or defer rents for tenants unable to pay; prioritizes lending to landlords with displaced student tenants or tenants unable to pay due to the pandemic.

Appropriates $3,000,000 in state funds for the 2019-2020 fiscal year, with requirement that federal funds be exhausted first and that the Housing Finance Agency submit quarterly reports to the legislature on loan activity.