Texas land law and foreigners: A new Texas law, SB 17, stops people from certain countries from buying or leasing homes long-term in the state. Some students and renters are already challenging the law in court.
Who Is Affected
| Group/Person | Impact of SB 17 | Notes |
|---|---|---|
| Foreign students | Can’t sign leases for 1 year or longer | Limits housing options, raises rent |
| Foreign property owners | Must sell property or face jail/fines | Fines = half the property’s market value |
| Companies from certain nations | Can’t own property in Texas | Same penalties as individuals |
Example: A Baylor University student on an F-1 visa can’t rent an apartment for a full year. He must pick a shorter lease, which is rare and often more expensive.
Why the Law Is Controversial
- Supremacy Clause: Critics say federal government controls foreign affairs, not Texas.
- National security vs. property rights: The law targets foreign nationals based on country, which may conflict with federal rules.
- Executive orders: Some argue SB 17 conflicts with President Trump’s “One Voice” policy, which says only the President handles foreign policy.
Quick Facts
- Chinese buyers spent $13.6 billion on U.S. real estate from April 2022–March 2023.
- They accounted for 13% of all foreign real estate purchases in that period.
- Violating SB 17 could mean a state jail felony for individuals.
Takeaway: Texas is trying to control who can buy property in the state, but legal challenges argue the law may break federal rules. The case could decide whether states or the federal government get the final say on foreign land ownership.
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