Texas landlord rules: deposits, late fees and notices

Security deposit

Maximum deposit

No statewide cap

Return deadline

30 days after the tenant moves out and gives a forwarding address

Penalty for late return

$100 + 3x wrongfully withheld amount for bad faith

Interest owed

No

Note

30-day clock starts at surrender AND receipt of forwarding address

Work out the return date for a move-out

Source: Tex. Prop. Code §§92.103-92.109

Late fees

Rule

capped at 12% of rent (≤4 units) or 10% (larger)

Grace period

2 days

Source: Tex. Prop. Code §92.019

Notice periods

Notice to pay or quit

3 days

Ending a month-to-month tenancy

30 days

Notice before entering a unit

as the lease provides

Note

the lease can shorten the 3-day nonpay notice to as little as 1 day

Work out the last day of a notice

No statute cited in our data

Screening

Source-of-income protection

No. The state stops cities and counties from adding one.

Note

state preempts local voucher ordinances

No statute cited in our data

Licensing

To manage for others

A real-estate broker license, to manage property for others.

No statute cited in our data

How long an eviction takes

Among the fastest: about 2 to 4 weeks. This is a rough tier from our data, not a court timeline.

A federal rule that can override this

Notice for nonpayment on covered properties

30 days

Note

Applies to 'covered properties' (federally backed mortgage or federal housing program). The 30-day notice requirement has no statutory sunset and courts are split - safest practice is a 30-day nonpayment notice on any covered property, regardless of shorter state timelines.

Source: CARES Act §4024