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TexasHB 421189th Legislature Regular SessionHouse

Relating to certain residential property interests controlled by certain entities.

Sponsored By: Bryan Hughes (Republican), Todd Hunter, Jeff Leach, Will Metcalf, Candy Noble

Signed by Governor

Business & Commerce--Trade PracticesProperty Interests--Property Owners AssociationProperty Interests--Real PropertySpecial Districts & Authorities--Municipal Utility DistrictsATTORNEY GENERALENVIRONMENTAL QUALITY, TEXAS COMMISSION ONSECRETARY OF STATE

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 2 benefits, 1 costs, 0 mixed.

Clearer purchases and stronger housing protections

For covered company-owned housing arrangements, purchase agreements and governing rules must disclose that buyers purchase company interests, not the homes themselves. Agreements and rules cannot require disputes to go before tribunals outside courts established under Texas or federal law. Violations count as deceptive trade practices under Texas consumer-protection law. After finding a violation, courts can block the company or affiliates from furthering development or construction through specified actions: filing or pursuing municipal utility district petitions with the Texas Commission on Environmental Quality, or receiving public money or benefits directly or indirectly. These protections exclude timeshare plans.

Fewer barriers to transferring housing interests

The law covers company interests that give buyers exclusive possession of company-owned homes while they hold those interests. Covered homes include single-family houses, duplexes, triplexes, and fourplexes; timeshares are excluded. Owners can transfer their interests without company approval, despite contract terms, and companies cannot charge transfer fees or share sale proceeds. Companies also cannot impose transfer or ownership conditions, or deny qualified buyers, in ways that violate Texas fair-housing rules. The act's effective-date rule provides immediate effect with two-thirds support in each house; otherwise, September 1, 2025.

Housing rule waived on qualifying religious land

The law exempts qualifying homes from Texas Property Code Section 301.042(a). The exemption covers sales, rentals, and occupancy of single-family houses, duplexes, triplexes, and fourplexes. Each home must sit on a subdivided lot within land totaling at least 25 acres. The land must belong to a religious organization, association, or society, or a qualifying nonprofit operated, supervised, or controlled by or in conjunction with one.

Sponsors & Cosponsors

Sponsors

  • Bryan Hughes

    Republican • Senate

  • Todd Hunter

    House

  • Jeff Leach

    House

  • Will Metcalf

    House

  • Candy Noble

    House

Cosponsors

  • Daniel Alders

    House

  • Keith Bell

    House

  • Greg Bonnen

    House

  • Benjamin Bumgarner

    House

  • David Cook

    House

  • Charles Cunningham

    House

  • Mark Dorazio

    House

  • James Frank

    House

  • Brent Hagenbuch

    Republican • Senate

  • Cody Harris

    House

  • Cole Hefner

    House

  • Hillary Hickland

    House

  • Janis Holt

    House

  • Andy Hopper

    House

  • Carrie Isaac

    House

  • Helen Kerwin

    House

  • Lois Kolkhorst

    Republican • Senate

  • Brooks Landgraf

    House

  • Terri Leo Wilson

    House

  • David Lowe

    House

  • Shelley Luther

    House

  • John McQueeney

    House

  • Mayes Middleton

    Republican • Senate

  • Brent Money

    House

  • Tom Oliverson

    House

  • Jared Patterson

    House

  • Katrina Pierson

    House

  • Keresa Richardson

    House

  • Alan Schoolcraft

    House

  • Joanne Shofner

    House

  • David Spiller

    House

  • Carl H. Tepper

    House

  • Cody Vasut

    House

  • Denise Villalobos

    House

  • Wes Virdell

    House

  • Trey Wharton

    House

Roll Call Votes

All Roll Calls

Yes: 343 • No: 102

House vote • 5/29/2025

Record vote

Yes: 110 • No: 26

Senate vote • 5/27/2025

Record vote

Yes: 0 • No: 0

Senate vote • 5/27/2025

Record vote

Yes: 0 • No: 0

House vote • 5/8/2025

Record vote

Yes: 104 • No: 41

House vote • 5/7/2025

Record vote

Yes: 108 • No: 34

Senate vote • Unknown

Committee vote: Business & Commerce

Yes: 11 • No: 0

House vote • Unknown

Committee vote: State Affairs

Yes: 10 • No: 1

Actions Timeline

  1. Effective immediately

    6/20/2025House

  2. Signed by the Governor

    6/20/2025House

  3. Sent to the Governor

    6/1/2025House

  4. Signed in the Senate

    6/1/2025Senate

  5. Signed in the House

    5/31/2025House

  6. Reported enrolled

    5/30/2025House

  7. House concurs in Senate amendment(s)-reported

    5/29/2025Senate

  8. Text of Senate Amendment(s)

    5/29/2025House

  9. Statement(s) of vote recorded in Journal

    5/29/2025House

  10. Record vote (RV#4035)

    5/29/2025House

  11. House concurs in Senate amendment(s)

    5/29/2025House

  12. Senate Amendments Analysis distributed

    5/28/2025House

  13. Senate Amendments distributed

    5/28/2025House

  14. Senate passage as amended reported

    5/28/2025House

  15. Placed on local & uncontested calendar

    5/28/2025Senate

  16. Placed on intent calendar

    5/27/2025Senate

  17. Record vote

    5/27/2025Senate

  18. Passed

    5/27/2025Senate

  19. Read 3rd time

    5/27/2025Senate

  20. Record vote

    5/27/2025Senate

  21. Three day rule suspended

    5/27/2025Senate

  22. Vote recorded in Journal

    5/27/2025Senate

  23. Read 2nd time & passed to 3rd reading

    5/27/2025Senate

  24. Rules suspended-Regular order of business

    5/27/2025Senate

  25. Co-sponsor authorized

    5/27/2025Senate

Bill Text

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