Ed Neuhaus 
If you work with investors or manage rental properties, Governor Abbott just made your life easier. SB 38 and SB 1333 created new tools for dealing with squatters and problem tenants that didn’t exist before.
The “rocket docket” eviction process. Fast-track squatter removal without filing an eviction case. Criminal penalties for fraudulent leases. These are real changes with real teeth.
A quick note: I’m not your broker (yet), and this isn’t legal advice. Always verify with your sponsoring broker and TREC directly before making changes to your practice. That said, if your broker isn’t walking you through this stuff, you might want to ask yourself why.
Lets break down what these laws do and what your landlord clients need to know.
Why These Laws Happened
Governor Abbott called it a “squatting crisis.” Property owners were dealing with unauthorized occupants who exploited the eviction process. People would move into vacant properties, produce fake leases, and tie up owners in court for months.
Traditional eviction could take 60 days or more. Meanwhile, the property was occupied, potentially being damaged, not generating legitimate rent. Owners felt helpless.
SB 38 and SB 1333 were Abbott’s response. “Private property rights are a cornerstone of our Texas values,” he said when signing them. These laws aim to give owners faster, more effective remedies.
SB 1333: Fast-Track Squatter Removal
SB 1333 went into effect September 1, 2025. It created a law enforcement path to remove true squatters without going through the eviction process.
How It Works
A property owner can submit a sworn complaint to law enforcement (sheriff or constable) stating that an unauthorized person has taken possession of their property. If certain conditions are met, law enforcement can remove the occupant without waiting for a court eviction.
When It Applies
This process is for true squatters. That means unauthorized occupants who:
- Do not have a valid lease or legal right to be there
- Were directed to vacate but didn’t
- Are not current or former leaseholders
- Entered property that was not open to the public
This is not for disputes with actual tenants. If someone had a lease and it expired, that’s still an eviction case. SB 1333 is for people who never had any legal right to be there.
Criminal Penalties
SB 1333 also created serious criminal penalties:
- Producing a fake lease or deed is now a Class A misdemeanor
- Leasing property without legal authority is a felony
The fake lease scam was common. Someone would show up with a fraudulent lease, claim tenancy, and force the owner through eviction court. Now that’s a criminal offense.
SB 38: The Rocket Docket
SB 38 went into effect January 1, 2026. It streamlines the eviction process for legitimate cases.
Faster Timelines
Under the new law:
- Service must occur within five business days of filing
- Trial is set for day 10-21 from filing (no earlier than day 4 after service)
- Continuances over 7 days require written approval from both parties
The goal is to complete evictions within 21 days instead of 60+. That’s a significant acceleration.
Summary Disposition
SB 38 created a summary disposition process. If there are no genuinely disputed facts, the landlord can potentially get judgment without a full trial. This prevents tenants from gaming the system with frivolous defenses to delay.
Electronic Notice
As covered in my article on email notice delivery, SB 38 allows electronic delivery of eviction notices under certain circumstances. This modernizes the process but also requires proper documentation.
What Real Estate Agents Need to Know
Why should you care about landlord-tenant law if you’re not a property manager? Because many of your clients are investors. And helping them understand these protections is part of serving them well.
Investment Property Sales
When listing investment properties, understanding vacancy and tenant situations matters. If a property has a squatter issue, knowing these remedies exist helps you advise the seller on resolution before sale.
Buyer Counseling
Investors buying rental properties will ask about landlord protections. Being able to explain the new squatter laws demonstrates market knowledge and builds confidence.
Property Management Referrals
If you refer clients to property managers, understanding the legal landscape helps you vet whether managers know these laws and will use them appropriately.
What Landlord Clients Should Know
Here’s the advice I give to investor clients about these new laws.
Document Everything
To use the SB 1333 fast-track removal, you need to prove the occupant is unauthorized. Keep copies of legitimate leases. Document when tenants move out. Photograph vacant property. The more documentation, the stronger your position.
Act Quickly on Unauthorized Occupants
The longer someone stays, the more they might establish defenses. If you discover unauthorized occupants, act immediately. Direct them to leave in writing. If they don’t, file the sworn complaint.
Understand the Limits
These laws help with true squatters. They don’t shortcut legitimate tenant disputes. If someone had a lease and stopped paying, that’s still eviction court. Don’t try to use squatter removal on actual tenants. That could expose you to liability.
Work With an Attorney
For the first few uses of these new procedures, working with a real estate attorney makes sense. The laws are new. Best practices are still developing. Having legal guidance reduces risk.
Tenant Protections Still Apply
It’s worth noting: legitimate tenants still have their protections. SB 1333’s fast-track removal only works for unauthorized occupants. SB 38’s rocket docket still provides tenants opportunity to defend themselves in court.
These laws aren’t about making it easy to remove legitimate renters. They’re about giving owners tools against people who never had any right to be there in the first place.
The Risk of Misuse
Falsely claiming someone is a squatter when they’re actually a legitimate tenant can expose the owner to criminal charges and civil liability. These tools have teeth, but they have to be used correctly.
Ed’s Take
I work with a lot of investors. The squatter problem was real. I’ve seen owners stuck for months trying to remove people who had no legal right to their property. These laws address that.
But I also counsel caution. The laws are new. Courts are still figuring out how to apply them. And misuse can create serious problems for owners.
The smart approach: document everything, act quickly on truly unauthorized occupants, work with attorneys for the first few cases, and don’t try to use these tools inappropriately.
For agents working with investors, understanding these laws is part of being valuable. When your client asks about landlord protections in Texas, you should be able to explain SB 38 and SB 1333 confidently.
Questions?
The squatter laws are new enough that many agents haven’t fully absorbed them. But they matter for anyone in the investment property space.
Have questions about how these laws affect investment properties or how to advise landlord clients? Reach out to me. I work with investors regularly and I’m happy to share what I know, even if you’re not one of my agents. Yet.
