Late fees on residential leases.
Summary
Caps late fees on residential leases at 12 percent of monthly rent for properties with four or fewer units, and 10 percent for larger properties. Late fees may not be assessed earlier than two days after the due date.
Read full bill text on the state legislature siteSuggested Addendum
ADDENDUM, FEE STRUCTURE COMPLIANCE In accordance with recent TX legislation, application, late, and convenience fees collected under this Lease are adjusted to comply with the new statutory limits. Any excess collected shall be refunded within 30 days. Reason for update: Caps late fees on residential leases at 12 percent of monthly rent for properties with four or fewer units, and 10 percent for larger properties. Late fees may not be assessed earlier than two days after the due date.
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Bill Timeline
Date pending
Introduced
Bill referred to committee for review.
In committee
Committee review
Subject-matter committee voted to advance.
Floor vote
Passed Chamber
Cleared the originating chamber and sent forward.
2026-03-30
Effective September 1, 2026
Signed into law. Compliance required.
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