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Bill

SB 17

Relating to the purchase or acquisition of an interest in real property by certain aliens or foreign entities; creating a criminal offense; providing a civil penalty.

89th Legislature (2025) Introduced by Daniel Alders and 86 co-sponsors

SB 17 criminalizes foreign nationals and entities purchasing Texas real property, effective September 1, 2025, with exceptions for certain visa holders and limited commercial activity.

Effective on 9/1/25
#attorneygeneral(v2811) #agriculture(i0020) #aliens(i0032) #internationalrelations(s0038) #propertyinterests--realproperty(i0595) #secretaryofstate(v0042)
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Bill Summary · SB 17

Legislative bill overview

SB 17 prohibits certain foreign nationals and entities from purchasing or acquiring interests in Texas real property, with limited exceptions. Violations result in criminal penalties and civil fines, with enforcement mechanisms targeting both the foreign purchaser and potentially facilitating parties.

Why is this important

This law directly affects real estate markets, foreign investment flows, and property ownership rights in Texas. It reflects broader concerns about foreign land acquisition near military installations, critical infrastructure, and agricultural areas, while potentially impacting legitimate international business transactions and relationships.

Potential points of contention

  • Definition ambiguity: The bill's scope regarding which foreign entities are restricted and what constitutes an "interest" in property remains subject to interpretation and potential legal challenges
  • Economic impact: Restrictions on foreign investment could affect property values, development projects, and capital flows in Texas real estate markets, particularly in border regions and urban centers
  • Enforcement burden: Criminal prosecution and civil penalty mechanisms require significant state resources and raise questions about implementation consistency across counties
  • Constitutional concerns: Restrictions on property ownership based on national origin may face legal challenges under equal protection and due process arguments
  • Unintended consequences: The law could harm legitimate foreign business partnerships, agricultural operations, and international corporate entities with valid U.S. operations

Compiled from official sources — confirm details with the bill’s official record.

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