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| 1 | 1 | By: Bhojani H.B. No. 5438 | |
| 2 | 2 | ||
| 3 | 3 | ||
| 4 | 4 | ||
| 5 | 5 | ||
| 6 | 6 | A BILL TO BE ENTITLED | |
| 7 | 7 | AN ACT | |
| 8 | 8 | relating to restrictions on residential leasing in property owners' | |
| 9 | 9 | associations. | |
| 10 | 10 | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | |
| 11 | 11 | SECTION 1. Chapter 202, Property Code, is amended by adding | |
| 12 | 12 | new section 202.0231 follows: | |
| 13 | 13 | Sec. 202.0231. REGULATION OF RESIDENTIAL LEASING. | |
| 14 | 14 | (a) A property owners' association may not establish, | |
| 15 | 15 | include, adopt, or enforce a provision in a dedicatory instrument, | |
| 16 | 16 | or construe a restricted covenant as, prohibiting an owner from | |
| 17 | 17 | executing a residential lease of at least six months. | |
| 18 | 18 | (b) If an owner chooses to execute a residential lease with | |
| 19 | 19 | one or more tenants, a property owners' association may not | |
| 20 | 20 | establish, include, adopt, or enforce a provision in a dedicatory | |
| 21 | 21 | instrument that imposes occupancy limits beyond those in Property | |
| 22 | 22 | Code Sec. 92.010. | |
| 23 | 23 | SECTION 2. (a) This Act takes effect immediately if it | |
| 24 | 24 | receives a vote of two-thirds of all the members elected to each | |
| 25 | 25 | house, as provided by Section 39, Article III, Texas Constitution. | |
| 26 | 26 | If this Act does not receive the vote necessary for immediate | |
| 27 | 27 | effect, this Act takes effect September 1, 2025. |