TX · Researched October 7, 2026
Texas is landlord friendly but strict on process. There is no cap on deposits or rent, but late fees are capped and the deposit must be refunded within 30 days. A big eviction reform (SB 38) took effect January 1, 2026, with new notice delivery rules and faster court timelines.
Leasing or negotiating leases for others for a fee is brokerage, and so is controlling the acceptance or deposit of rent from a resident of a single-family rental. A sales agent must work under a sponsoring broker.
Owners and their employees leasing the owner's property, on-site managers of apartment complexes, licensed attorneys, certain LLC and partnership managers, court-ordered or trust transactions.
Rent, security deposits, and other trust money must go into a designated trust account (or to an authorized escrow agent) by the close of business on the second working day after receipt, unless the principals agree otherwise in writing. No commingling with personal or operating funds, and an accounting to each beneficiary at least monthly when the account has activity.
Texas law does not cap the amount of a security deposit. Set the amount in the lease and apply it consistently to avoid fair housing problems.
Give the balance plus a written, itemized list of deductions. You may wait until the tenant gives a written forwarding address. No deductions for normal wear and tear. Bad faith retention costs $100 plus three times the amount withheld plus attorney's fees.
Keep accurate records of all deposits. A new owner becomes liable for deposits and must give tenants a signed statement of the deposit amount. Licensed brokers holding deposits must keep them in a trust account under TREC rules.
A fee is presumed reasonable if it is no more than 12% of monthly rent for buildings with four or fewer units, or 10% for buildings with more than four units. Initial plus daily fees count as one fee. Violations cost $100 plus three times the fee plus attorney's fees.
The applicant must sign an acknowledgment of the criteria. An applicant not accepted within 7 days is deemed rejected, and refundable application deposits must be returned. Bad faith retention costs $100 plus three times the amount plus attorney's fees.
During a fixed term, rent can change only if the lease allows it. For month-to-month tenancies, the practical floor is the one-month notice needed to end the tenancy under Section 91.001, unless the lease sets a different period.
A city ordinance needs a finding of a housing emergency caused by a declared disaster and the governor's approval. It continues or ends the same way the governor's disaster declaration does.
If the tenant was not late in prior months, the notice must be a notice to pay rent or vacate. Deliver by mail, inside the unit in a conspicuous place, by hand to a tenant 16 or older, or by email if agreed in writing. Federal CARES Act properties may need 30 days.
No statutory cure period. The lease controls whether the tenant gets a chance to fix the problem. Use the same delivery methods as for nonpayment.
If rent is paid more often than monthly, notice equals one rent period. The tenancy ends on the later of the date in the notice or one month after notice is given.
SB 38 (effective January 1, 2026) added sworn motions for summary disposition without trial when no facts are disputed, lets parties appear by video or phone if they agree, and requires officers to serve the writ within five business days after it issues. A party has 5 days after the judgment is signed to appeal, and the court sets rent to be paid during an appeal.
A landlord may remove contents of premises abandoned by the tenant. Selling seized property under the landlord's lien requires a written lease clause and 30 days' notice by first class and certified mail.
Chapter 92 of the Property Code has no landlord entry section. Entry rights come from the lease, so include a clear entry clause and give reasonable notice except in emergencies.
Seven days is presumed a reasonable time to repair. If the tenant is current on rent and gave proper notice, the tenant may end the lease, repair and deduct, or sue. The lease must describe these remedies in bold or underlined text. HB 2037 (2025) updated the repair and deduct rules.
Flood notices must be signed and given at or before lease signing (updated by SB 2349, effective September 1, 2025). Disclose owner and management company on request. Leases must include bold or underlined language on repair remedies and early termination rights for certain victims.
Texas protects race, color, religion, sex, familial status, national origin, and disability. State law bars cities and counties from banning source-of-income refusals, except for veterans' income.
Overhauled Chapter 24: new notice delivery methods, sworn petitions, summary disposition without trial, remote hearings by agreement, a 5-day appeal deadline, and service of the writ within 5 business days.
Owners or their agents can ask a constable or sheriff to remove an unauthorized occupant using a sworn form, without an eviction suit. Current and former tenants, the owner's family and cases with pending litigation are excluded. The law also made it a crime to list or rent property without authority (Penal Code 32.57) and to present a false lease or deed (Penal Code 32.56).
Amended repair and deduct rules and added that managing agents receive deposit notices and that deposit notices may go by email if the parties have emailed before.
Amended the floodplain and flood history lease notice.
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Compare with other states: security deposit limit, deposit return deadline, deposit interest and holding rules, late fees, application and screening fees, rent increase notice, rent control, notice for unpaid rent, notice for lease violations, ending a month-to-month, eviction timeline, abandoned property, landlord entry, repairs and habitability, required disclosures, state fair housing protections.