Texas Bill Allows Governor to Restrict Foreign Property Purchases
Bill seeking to ban land purchases in Texas from specific nations advances in the House
The Texas House recently approved an amendment to Senate Bill 17 (SB 17) that allows the governor to expand the list of countries whose residents and entities are prohibited from buying property in Texas. Initially, the bill only targeted countries classified as national security threats by the U.S. national director of intelligence. The current list includes China, Iran, North Korea, and Russia [1].
If the bill passes further House votes and makes it back to the Senate, the governor would have the power to determine and add additional countries to the restriction list. This amendment sparked debates in the Texas legislature, with Democrats expressing concerns over the potential for overreach and discrimination against Asian Americans.
Representative Nate Schatzline, who introduced the amendment, believes that granting the governor this power would enable Texas to address potential security threats more swiftly [1]. However, State Representative Gene Wu criticized the measure, arguing that it grants "unfettered power" to the governor, allowing him to add any country to the restricted list without oversight [1].
In addition to expanding the list of restricted countries, the amendment also empowers the governor to bar "transnational criminal organizations" from buying property in Texas [1]. Schatzline identified the Venezuelan gang Tren de Aragua as an example [1].
Despite Democratic attempts to introduce changes to the bill, such as exempting medical students, researchers, performers, and athletes from the restrictions, their proposals were rejected multiple times during the approval process [1].
The bill prioritizes the protection of Texas land, natural resources, and prevents them from being exploited by hostile entities and oppressive regimes. The passage of SB 17 follows opposition from Democrats who are concerned about the potential for discriminatory practices [1].
If the bill becomes law, those found to be in violation could be ordered to sell or terminate their lease by a Texas court, and the matter may be referred for potential criminal offenses. Property ownership by entities from outside the U.S., aside from agricultural land, is not extensively tracked, with Chinese investors owning less than 1% of total foreign-held acreage, based on 2021 data from the U.S. Department of Agriculture [1][4].
Despite concerns about discrimination and unfair restriction, the bill has garnered support from some members of the Asian American community, like Representative Angie Chen Button - one of the second Asian American women to serve in the Texas legislature [1]. Some opponents argue that the bill creates animosity and "state-sanctioned racial profiling" against Asian Texans [1].
Critics of the bill claim that it could impact members of various Asian communities, as people may mistake national origin for immigration status, leading to potential acts of violence against those who appear to be of Asian descent [1].
This article originally appeared in The Texas Tribune at https://www.texastribune.org/2025/05/08/texas-foreign-land-purchase-senate-bill-17/.
The Texas Tribune is a member-supported, nonpartisan newsroom informing and engaging Texans on state politics and policy. Learn more at texastribune.org.
- The Texas House approved an amendment to Senate Bill 17 (SB 17), which allows the governor to expand the list of countries whose residents and entities are prohibited from buying property in Texas.
- Critics, such as State Representative Gene Wu, argue that the amendment grants unchecked power to the governor, allowing him to add any country to the restricted list without oversight.
- The amendment also empowers the governor to bar "transnational criminal organizations" from buying property in Texas.
- Despite attempts by Democrats to exempt certain groups, like medical students, researchers, performers, and athletes, their proposals were frequently rejected during the approval process.
- The passage of SB 17 follows debates in the Texas legislature, with concerns raised over the potential for discriminatory practices against Asian Americans.
- Some Asian American community members, like Representative Angie Chen Button, have shown support for the bill, while others argue it creates animosity and state-sanctioned racial profiling against Asian Texans.