The North Carolina Tenant Security Deposit Act (N.C.G.S. § 42-51) establishes the maximum security deposit a landlord can legally require. The limit is determined by the length of the lease term. For tenancies with terms longer than month-to-month, such as the one-year lease described in the scenario, the landlord is permitted to charge a security deposit equivalent to a maximum of two months' rent. With a monthly rent of $1,500, the maximum allowable security deposit is $3,000 ($1,500 x 2).

A. $750: This amount represents one-half of a month's rent and does not correspond to any of the maximum limits set by the North Carolina Tenant Security Deposit Act.

B. $1,500: This is one month's rent. While a landlord could choose to charge this amount, it is not the maximum allowed for a one-year lease term.

C. $2,250: This amount is one and one-half months' rent, which is the maximum security deposit allowed for a month-to-month tenancy, not for a longer term like a one-year lease.

1. North Carolina General Statutes, Chapter 42, Article 6. N.C.G.S. § 42-51(b) states, "The security deposit shall not exceed an amount equal to two weeks' rent if a tenancy is week to week, one and one-half months' rent if a tenancy is month to month, and two months' rent for terms greater than month to month."

2. North Carolina Real Estate Commission. (2023). North Carolina Real Estate Manual (2023-2024 ed.). Chapter 12, Residential Property Management, Section: "Tenant Security Deposit Act," subsection "Amount of Deposit," p. 12-11. This section explicitly details the deposit limits based on the tenancy term, confirming the two-month limit for leases longer than month-to-month.

3. Bluestein, F. S., & Anderson, A. E. (2012). Landlord and Tenant Law (4th ed.). UNC School of Government. Chapter 3, "The Security Deposit," Section: "How Much Security Deposit May a Landlord Collect?," p. 21. This publication clarifies that for a standard lease (longer than month-to-month), the maximum deposit is two months' rent.