New Texas Law: Foreign Adversaries Banned from Buying Land

New Texas Law: Foreign Adversaries Banned from Buying Land

  • Bailey Groves & Chelsea Matlock
  • 09/3/25

📜 What the Law Says

Governor Greg Abbott has officially signed Senate Bill 17, a new law that prohibits individuals and entities tied to foreign adversaries (including China, Russia, Iran, and North Korea) from purchasing land in Texas.

This law, effective September 1, 2025, is designed to protect Texas resources—agriculture, minerals, water, and even residential and commercial property—from foreign interests that could pose national security risks.

How Much Land Do Foreign Investors Own?

In Texas:

  • Texas leads the nation with 5.3–5.7 million acres of foreign-held agricultural land (~3.4–3.6% of privately owned farmland in the state).

  • Of that, about 123,000 acres are owned by Chinese entities—some near sensitive locations like military bases.

Nationwide:

  • Foreign investors own over 45 million acres of U.S. agricultural land—about 3–3.6% of privately held farmland.

  • Canada is the largest holder with nearly 12.8 million acres.

  • China, by comparison, owns less than 1% of foreign-held U.S. farmland—about 277,000 acres nationwide.

Pushback & Lawsuits

Not everyone supports the law. In July 2025, Chinese nationals living in Texas filed a lawsuit, arguing that the law unfairly targets immigrants and violates constitutional protections. That case is still working its way through the courts.

✅Key Takeaways

  • What the law does: Bans foreign adversaries from buying Texas land of any type.

  • Why it matters: Texas is protecting resources and preventing strategic acquisitions near sensitive areas.

  • Scope of foreign ownership: While foreign-held land in Texas is significant, it still accounts for only about 3–4% of private farmland.

  • Ongoing debate: Lawsuits highlight concerns over fairness and constitutional rights.

Our Take

Texas has made it clear: land and resource security is a top priority. Whether you agree with the law or not, it’s part of a growing national conversation on who controls America’s farmland and natural resources.

As your go to real estate brokers, we’ll continue keeping you updated on new laws and trends that affect property ownership here in our state. If you ever have questions about how these changes could impact you—or if you just want to talk through what this means for future buyers and sellers—don’t hesitate to reach out.

Talk soon,
Chelsea & Bailey
Texas Real Estate Twins 

 

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