The following is an overview of bills passed during the 2011 Texas legislative session that affect real estate. Please note that this overview does not include every new law affecting real estate; it is simply an overview of certain important changes.

Landlord-Tenant-Residential Certificates of Occupancy H.B. 1862 allocates liability to a landlord whose certificate of occupancy is revoked by a city or county for the landlord’s failure to maintain the premises. The landlord is liable for the full amount of the tenant’s security deposit, the pro rata portion of any rental payments paid in advance by the tenant, and the tenant’s actual damage which includes moving costs, utility connection fees, storage fees, lost wages, and attorney’s fees.

Property Owner’s Associations (HOAs and COAs)

· Collections and Foreclosures H.B. 1228 requires certain POAs to adopt and file reasonable guidelines allowing owners to make partial payments for delinquent assessments. The law also regulates foreclosure of assessment liens and the use of collection agents. Lastly, the bill requires the Texas Supreme Court adopt rules for expedited foreclosure proceedings.

· Flags H.B. 2779 prohibits a POA from adopting or enforcing restrictions on displaying the U.S., Texas, or armed forces flags, except as allowed by law (ex. reasonable restrictions relating to flags, flagpoles. lights, and noise).

· Solar Panels H.B. 362 prohibits a POA from restricting solar devices, except as allowed by statue. The law also prohibits POA architectural review committees from withholding approval of a solar device unless the device substantially interferes with the use and enjoyment of the land.

Ad Valorem Taxes-Protests H.B. 1887 provides that before delinquency, an owner who disputes the appraised value of their property need only pay the amount of tax attributable to the portion of the appraised value that is not in dispute in order to preserve their right to have the appraised amount corrected by the appraisal review board (ARB).

Ad Valorem Taxes-ARB Hearings S.B. 1546 amends Tax Code Section 41.45 (e-l) by providing that a property owner’sagent who fails to appear at an appraisal review board (ARB) hearing is now entitled to a new hearing in the same manner as a property owner who fails to appear to such a hearing.

Co-owners of Residential Property S.B. 1368 permits certain co-owners of property to file an affidavit in the county clerk’s office to establish the authority to act as agent for the other co-owner for the purpose of entering into mechanic’s liens, materialman’s, and deed of trust liens.

Bahin Ameri is a Houston-based real estate attorney. The focus of her practice is on real estate law and business law. She handles a variety of cases including contract/lease disputes, property disputes, and small claims. Bahin also handles business formations, applications for state benefits, and homestead exemptions. Her clients include homeowners, small business owners, landlords, tenants, and individuals seeking state benefits.

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