HB 258 — Relating to real property theft and real property fraud; establishing recording requirements for certain documents concerning real property; creating the criminal offenses of real property theft and real property fraud and establishing a statute of limitations, restitution, and certain procedures with respect to those offenses.

Bill Text

• Introduced View text Current pdf

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This bill amends 7 section(s) of the Texas statutes: Section 51.901, Government Code, Section 191.010, Section 191.010(b), Local Government Code, Section 31.01(4), Penal Code, Section 31.23, Penal Code, Section 32.60, Penal Code.

• (9) or → (10) (I) real property theft under Section 31.23, Penal Code; or (J) real property fraud under Section 32.60, Penal Code; or (J)

  amended

• CHAPTER 5C. PROCEDURES FOR REAL PROPERTY THEFT AND FRAUD Art. 5C.001. INFORMATION TO BE INCLUDED IN JUDGMENT OR ORDER. For an offense under Section 31.23 or 32.60, Penal Code, the judgment of conviction or order of deferred adjudication must include: (1) the street address or legal description of the real property that the court finds to be included in the conduct constituting the offense; and (2) the identifying reference number assigned by the county clerk to each document: (A) that relates to real property that the court finds to be included in the conduct constituting the offense; and (B) that is recorded in the real property records of the county. Art. 5C.002. JUDGMENT OR ORDER TO BE FILED WITH COUNTY CLERK. Not later than the 10th day after the date the court enters a judgment of conviction or order of deferred adjudication for an offense under Section 31.23 or 32.60, Penal Code, the prosecutor or court clerk, as determined by local court rule, shall file with the county clerk: (1) a certified copy of the judgment or order for recording in the real property records of the county where the real property that is the subject of the offense is located; (2) a statement explaining the filing; and (3) if the judgment or order does not comply with Article 5C.001, a certified copy of the indictment. Art. 5C.003. EFFECT OF NONCOMPLIANCE. A judgment of conviction or order of deferred adjudication for an offense under Section 31.23 or 32.60, Penal Code, is not invalid solely because the judgment or order fails to comply with Article 5C.001 or 5C.002.

  amended

• Art. 42.0376. RESTITUTION FOR REAL PROPERTY THEFT. (a) Except as provided by Subsection (b) and subject to Subsection (c), the court shall order a defendant convicted of or placed on deferred adjudication community supervision for an offense under Section 31.23, Penal Code, to pay restitution, as applicable: (1) for an offense under Section 31.23(b)(1), to the owner of the real property or nonpossessory interest in real property that is the subject of the offense in an amount equal to the value of the real property or nonpossessory interest; (2) for an offense under Section 31.23(b)(2), to the owner of the benefit that is the subject of the offense in an amount equal to the value of the benefit; (3) to a title company or insurer that paid a claim based on the conduct constituting the offense, in an amount equal to the value of the payment made by the title company or insurer; or (4) to the owner of the real property or nonpossessory interest in real property or the owner of the benefit in an amount equal to, as applicable: (A) the value of losses incurred as a reasonably foreseeable result of the conduct constituting the offense, including loss of or damage to: (i) personal property, including machinery or vehicles located on or in the real property that is the subject of the offense; (ii) trees, landscaping, flora, and growing or harvested agricultural commodities placed or maintained on the real property by the owner, regardless of the state of growth; or (iii) a structure attached to the real property that is not included in the market value of the property for the tax year in which the offense was committed, as indicated on the appraisal roll for the appraisal district in which the real property is located; or (B) reasonable attorney's fees and court costs related to an action brought to quiet title to or dispute the conveyance or possession of the real property that is the subject of the offense. (b) The court may not order a defendant convicted of or placed on deferred adjudication community supervision for an offense under Section 31.23(b)(1), Penal Code, to pay restitution under Subsection (a)(1) if, before a judgment of conviction or order of deferred adjudication is entered in the case, the defendant: (1) is listed in the county real property records as the owner of the real property or nonpossessory interest in real property that is the subject of the offense; (2) executes a quitclaim deed or other instrument conveying the title or interest to the owner of the property or interest; (3) files for recording in the county real property records the quitclaim deed or other instrument; and (4) provides to the court a certified copy of the recorded quitclaim deed or other instrument. (c) The court shall reduce the amount of restitution that a defendant is ordered to pay under Subsection (a)(1) by an amount equal to the value of a payment made by a title company or insurer for a claim based on the conduct constituting the offense to the person to whom the court orders the defendant to pay restitution.

  amended

• Section 51.901, Government Code

  (g) If an individual advises a county clerk that a document or instrument that purports to convey an interest in real property and that was filed for recording with the county clerk after January 1, 2026, is fraudulent, the county clerk shall provide to law enforcement with jurisdiction in the area where the real property is located notice of the allegation and the photo identification information provided to the county clerk under Section 191.010(b), Local Government Code, by the person who presented the document or instrument to the county clerk for filing.

  amended

• Section 191.010

  IN CERTAIN COUNTIES

  amended

• Section 191.010(b), Local Government Code

  in a county that allows for electronic filing of documents in the real property records of the county may may → shall of the county shall

  amended

• Section 31.01(4), Penal Code

  other than real property

  amended

• Section 31.23, Penal Code

  Sec. 31.23. REAL PROPERTY THEFT. (a) In this section: (1) "Disabled individual" and "elderly individual" have the meanings assigned by Section 22.04. (2) "Nonpossessory interest" includes an interest that may be conveyed by a quitclaim deed or conditional transfer. (3) "Owner" includes an owner's estate and known successors in interest if the owner is deceased. (4) "Transfer" has the meaning assigned by Section 12.019, Property Code. (b) A person commits an offense if the person: (1) brings about or attempts to bring about a transfer or purported transfer of real property or title to real property or a nonpossessory interest in real property, to any transferee or intended transferee: (A) without the effective consent of the owner of the real property or the nonpossessory interest in real property; and (B) with the intent to deprive the owner of the real property or the nonpossessory interest in the real property; or (2) sells or otherwise transfers or encumbers, or attempts to sell or otherwise transfer or encumber, real property or title to real property or a nonpossessory interest in real property to or with respect to a person in exchange for a benefit from any person: (A) without the effective consent of the owner of the benefit; and (B) with the intent to deprive the owner of the benefit. (c) Except as provided by Subsection (e), an offense under Subsection (b)(1) is: (1) a felony of the second degree if it is shown on the trial of the offense that the market value of the real property is less than $300,000; or (2) a felony of the first degree if it is shown on the trial of the offense that the market value of the real property is $300,000 or more. (d) Except as provided by Subsection (e), an offense under Subsection (b)(2) is: (1) a felony of the third degree if it is shown on the trial of the offense that the value of the benefit received is less than $30,000; (2) a felony of the second degree if it is shown on the trial of the offense that the value of the benefit received is $30,000 or more but less than $150,000; or (3) a felony of the first degree if it is shown on the trial of the offense that the value of the benefit received is $150,000 or more. (e) An offense described for purposes of punishment by Subsections (c) and (d) is increased to the next higher category of offense if it is shown on the trial of the offense that at the time of the offense: (1) the owner of the real property or nonpossessory interest in real property or the owner of the benefit was: (A) an elderly individual; (B) a disabled individual; or (C) a nonprofit organization; or (2) the real property was subject to a property tax exemption under Subchapter B, Chapter 11, Tax Code, as an individual's residence homestead as defined by Section 11.13(j), Tax Code. (f) For purposes of Subsection (c), the market value of real property is the market value of that property for the tax year in which the offense was committed, as indicated on the appraisal roll for the appraisal district in which the property is located. (g) If conduct that constitutes an offense under this section also constitutes an offense under another law, the actor may be prosecuted under this section, the other law, or both.

  amended

• Section 32.60, Penal Code

  Sec. 32.60. REAL PROPERTY FRAUD. (a) In this section: (1) "Deception" has the meaning assigned by Section 31.01. (2) "Disabled individual" and "elderly individual" have the meanings assigned by Section 22.04. (3) "Document" and "effective consent" have the meanings assigned by Section 32.46. (b) A person commits an offense if the person: (1) intentionally or knowingly makes a materially false or misleading written statement to obtain real property; or (2) with the intent to defraud or harm any person: (A) causes another person, without that person's effective consent, to sign or execute any document affecting real property or any person's interest in real property; or (B) causes a public servant, without the public servant's effective consent, to file or record any purported judgment or other document purporting to memorialize or evidence: (i) title to real property or any person's interest in real property; or (ii) a lien or claim against real property or against any person's interest in real property. (c) Except as provided by Subsection (d), an offense under this section is: (1) a felony of the second degree if it is shown on the trial of the offense that the market value of the real property or the value of the interest in the real property is less than $300,000; or (2) a felony of the first degree if it is shown on the trial of the offense that the market value of the real property or the value of the interest in the real property is $300,000 or more. (d) An offense described for purposes of punishment by Subsection (c) is increased to the next higher category of offense if it is shown on the trial of the offense that at the time of the offense: (1) the owner of the real property was: (A) an elderly individual; (B) a disabled individual; or (C) a nonprofit organization; or (2) the real property was subject to a property tax exemption under Subchapter B, Chapter 11, Tax Code, as an individual's residence homestead as defined by Section 11.13(j), Tax Code. (e) For purposes of Subsection (c), the market value of real property is the market value of that property for the tax year in which the offense was committed, as indicated on the appraisal roll for the appraisal district in which the property is located.

  added

• Section 12.001(b), Property Code

  : (1) ; and (2) any individual presenting the instrument in person for recording presents a photo identification to the county clerk as required by Section 191.010, Local Government Code

  amended

Action History

1. August 19, 2025

   Filed

Sponsors

• Leo Wilson · Primary

Subjects