Texas property law limits who can buy homes under controversial rules

Senate Bill 17 bars entities and individuals tied to China, Iran, North Korea, and Russia from buying Texas real estate. United States citizens and Lawful Permanent Residents remain completely exempt from these property restrictions. The Texas Attorney General is empowered to order forced property sales and press criminal charges for violations. The state of Texas has enacted significant limitations on foreign ownership of real estate following the passage of Senate Bill 17, signed into law by Governor Greg Abbott. This controversial measure restricts designated foreign entities and individual nationals from purchasing or holding key real estate holdings across the state. Promoted by state lawmakers as a national security safeguard, the legislation aims to prevent foreign adversaries from controlling critical infrastructure, agricultural acreage, and strategic land adjacent to military installations. Target nations and foreign individual eligibility guidelines The regulatory scope of SB 17 explicitly applies to governments, official agencies and corporate entities controlled directly or indirectly by China, Iran, North Korea, and Russia. Furthermore, individual citizens who maintain their primary residence within these four designated countries and lack valid United States immigration standing are barred from buying real estate. However, the law provides explicit protections for foreign nationals from these regions who have secured Lawful Permanent Resident status or full United States citizenship, ensuring their purchasing rights remain unaffected. Restricted property categories and existing lease protections The real estate restrictions imposed under SB 17 encompass virtually all forms of land ownership throughout Texas, including agricultural land, commercial real estate and residential housing units. Despite these broad bans, the final text approved by the Texas Legislature incorporates specific grandfathering provisions. These exemptions preserve the validity of existing real estate contracts, property rights and commercial lease agreements that were legally executed prior to the official implementation date of the statutory restrictions. Legal enforcement mechanisms and criminal liability To ensure strict compliance, the legislation grants broad authority to the Texas Attorney General to launch formal investigations into suspected property transactions. Entities or individuals found in violation of the mandate face judicial proceedings that mandate the forced sale of the non-compliant real estate alongside substantial civil fines. Moreover, the statute establishes formal criminal penalties for any parties that intentionally structure transactions to evade state property ownership guidelines. Business & FinanceCultureEducationHustlePolitics Start Watching. Enjoy LatiNation and our shows anytime, anywhere.