The bill, H.B. No. 1849, seeks to regulate the purchase or acquisition of title to real property in Texas by certain foreign individuals and entities, particularly those from designated countries such as China, Iran, North Korea, and Russia. It amends existing laws to clarify that aliens generally have the same property rights as U.S. citizens, but introduces a new subchapter that prohibits specific entities and individuals from acquiring real property in Texas. This includes governmental entities from designated countries, companies headquartered in those countries, and individuals domiciled in those countries. The bill also outlines exceptions for U.S. citizens, lawful permanent residents, and certain leasehold interests.

Additionally, the bill establishes enforcement mechanisms, allowing the Texas Attorney General to investigate potential violations and take legal action against those who unlawfully acquire property. It includes provisions for divesting property acquired in violation of the law and imposes penalties for offenders, classifying violations as state jail felonies. The bill mandates that the Attorney General adopt rules for implementation and specifies that the changes will apply only to transactions occurring after the effective date of September 1, 2025.

Statutes affected:
Introduced: Civil Practice and Remedies Code 64.001, Property Code 5.005 (Property Code 5, Civil Practice and Remedies Code 64)