Houston, Tex. (October 9, 2025) - Effective September 1, 2025, certain foreign individuals and entities are no longer able to purchase or acquire an interest in real property in Texas. Governor Abott signed Senate Bill 17 into law on June 20, 2025, amending Chapter 5 of the Texas Property Code to add Subchapter H.

The new legislation targets governmental entities of and companies, organizations, and individuals from “designated countries,” which Subchapter H defines as countries that the U.S. Director of National Intelligence identifies as posing a risk to United States national security, or additional countries that the governor designates after determining that the purchase or acquisition poses a risk to national security. Subchapter H initially designates China, Russia, Iran, and North Korea as posing such risk. “Companies” and “organizations” collectively include not only associations, corporations, partnerships, and limited liability companies, but real estate investment trusts, joint ventures, insurance companies, and non-profit organizations.