The bill, introduced by Hefner as H.B. No. 17, aims to regulate the purchase or acquisition of title to real property 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 have the same property rights as U.S. citizens, except as specified in the new Subchapter H. This subchapter outlines prohibitions on property acquisition by governmental entities or companies from designated countries, as well as individuals domiciled in those countries. The bill also establishes exceptions for U.S. citizens, lawful residents, and certain leasehold interests.

Additionally, the bill creates a framework for enforcement, allowing the attorney general to investigate potential violations and impose penalties, including fines for companies that violate the regulations. It specifies that individuals from designated countries who knowingly acquire property in Texas can be charged with a state jail felony. The bill mandates the attorney general to adopt rules for implementation and clarifies 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)