Texas lawmakers approve new criminal penalties for real property theft and fraud

Texans could soon see stronger protections against deed theft and property fraud after state lawmakers approved new legislation targeting those crimes directly.

On August 18, the Texas Senate passed Senate Bill 16, authored by Sen. Royce West (D-Dallas). The Texas House followed suit on August 26, sending the bill to Gov. Greg Abbott for his signature.

The legislation was added to the current special session agenda after Abbott vetoed a similar measure earlier this summer. In his veto message, the governor argued that the prior bill, Senate Bill 648, could have unintentionally created burdens for low-income families and rural property owners by requiring them to meet stricter paperwork standards than those who could afford attorneys or title agents.

Unlike the vetoed bill, SB 16 focuses squarely on creating two new criminal offenses — real property theft and real property fraud. Currently, such cases fall under the broader categories of theft and fraud. By carving them out as standalone crimes, lawmakers say prosecutors will have better tools to track offenses, pursue cases with a longer 10-year statute of limitations, and seek tougher penalties, especially when elderly Texans or people with disabilities are targeted.

Another provision of the bill allows courts, after a conviction, to enter the judgment directly into county property records. This creates a public record that the disputed title was based on fraud or theft, giving victims stronger grounds in civil court to reclaim their property.

To reduce fraudulent filings, SB 16 also requires anyone filing property records in person to present photo identification. If county clerks suspect a filing is fraudulent, they must alert law enforcement.

During House debate, Rep. Sam Harless (R-Spring) successfully added a safeguard for Texas Department of Criminal Justice employees, ensuring they are protected from fraudulent liens filed by or on behalf of incarcerated individuals.

Rep. Rafael Anchia (D-Dallas), who carried the bill in the House, praised the legislation’s unanimous passage, calling it “a big win for every Texan who has lost their home to deed fraud.” He added, “We worked with law enforcement and victims to deliver the strongest protections in Texas history, making deed fraud a crime with real consequences and giving families the tools to defend what’s rightfully theirs — the roof over their heads.”

Advocates say the issue is especially pressing for seniors. Kathy Green, director of state and federal strategy at AARP Texas, said deed theft disproportionately harms older Texans, who may own homes with significant equity but are less able to monitor property filings if they are in long-term care. “It’s a rising issue,” Green noted, adding that AARP operates a fraud watch helpline for both members and nonmembers who suspect they have been targeted.

Some local governments are already offering prevention tools. Dallas County Clerk John Warren, for example, runs a free fraud alert system that notifies residents by email whenever their name appears in a property filing.

The bill now awaits Gov. Abbott’s decision. If signed, Texas will have one of the nation’s strongest statutory frameworks against deed fraud — a crime that can strip families of their homes with little warning.