Texas HB3497 amends the definition of "security deposit" in the Property Code.

Texas HB3497 amends the definition of "security deposit" in the Property Code to include any advance of money or fee intended to secure performance under a lease or to cover future damages or lease violations. It also includes fees based on a tenant's eviction history or credit history. The changes apply to leases entered into or renewed after the effective date of the Act. If the Act receives a two-thirds vote in both houses, it takes effect immediately; otherwise, it takes effect September 1, 2025.

Texas HB3497 amends the definition of "security deposit" in the Property Code.

Texas HB3497 amends the definition of "security deposit" in the Property Code to include any advance of money or fee intended to secure performance under a lease or to cover future damages or lease violations. It also includes fees based on a tenant's eviction history or credit history. The changes apply to leases entered into or renewed after the effective date of the Act. If the Act receives a two-thirds vote in both houses, it takes effect immediately; otherwise, it takes effect September 1, 2025.