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  • Writer's pictureCKR Property Management

New Texas Laws Impact Multifamily Housing Market

Every two years, the Texas Legislature meets for five months to set a two-year budget and pass new laws. Once passed, those laws usually go into effect immediately following the session on September 1.

Over 800 laws were passed this most recent Texas legislative session. New laws affecting the multifamily housing industry in Texas will need to be understood by property investors and managers alike.

Here are three new laws that are expected to impact the multifamily industry in Texas:

· A landlord cannot collect late rent fees from residents unless: notice of the fee is included in the written lease, the fee is less than 10% of the monthly rent unless the landlord is able to prove that the cost to collect and process the fee exceeds 10%, and the rent is unpaid two full days after it was due, SB1414.

· Leases for apartments, condos and manufactured housing have been able to include “no firearm” clauses, preventing renters and owners from having firearms or ammunition at those properties. Rental leases may no longer include “no firearms” clauses, HB302.

· Residents may now terminate a lease before the conclusion of it if there is proof of family violence in the unit so long as a 30-day notice is given, SB234.

With laws constantly shifting, it’s important for both multifamily investors and managers to remain vigilant in understanding new laws as they apply to the industry. Doing so will ensure a mutually beneficial relationship between manager and resident.


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