The bill, S.B. No. 2734, amends the Texas Property Code to require landlords to consider education-related income when determining the eligibility of applicants for residential tenancies. A new section, 92.027, is added, which mandates that landlords include a designated space on rental applications for applicants to report their education-related income, such as grants, scholarships, and federal student loans. Additionally, landlords must factor this education-related income into their calculations of the applicant's current income. If a landlord fails to comply with this requirement, they may be liable to the applicant for damages, including a monetary penalty and attorney's fees.

Furthermore, the bill modifies Section 92.3515(a) to specify that when providing a rental application, landlords must inform applicants about the tenant selection criteria, which now explicitly includes education-related income as part of the current income assessment. The changes will apply only to rental applications provided on or after the effective date of the Act, which is set for September 1, 2025. Applications submitted before this date will be governed by the previous law.

Statutes affected:
Introduced: Property Code 92.3515 (Property Code 92)