Tex. Prop. Code Ann. §§ 301.001–301.171 § 301.042
RELIGIOUS ORGANIZATION, PRIVATE CLUB, AND APPRAISAL EXEMPTION.
Operative Text
Sec. 301.042. RELIGIOUS ORGANIZATION, PRIVATE CLUB, AND APPRAISAL EXEMPTION. (a) This chapter does not prohibit a religious organization, association, or society or a nonprofit institution or organization operated, supervised, or controlled by or in conjunction with a religious organization, association, or society from:(1) limiting the sale, rental, or occupancy of dwellings that it owns or operates for other than a commercial purpose to persons of the same religion; or(2) giving preference to persons of the same religion, unless membership in the religion is restricted because of race, color, or national origin.(a-1) Subsection (a) does not apply to the sale, rental, or occupancy of a dwelling that is a single-family house, duplex, triplex, or quadruplex located on a subdivided lot in a parcel of land 25 acres or greater owned by a religious organization, association, or society or a nonprofit institution or organization operated, supervised, or controlled by or in conjunction with a religious organization, association, or society.(b) This chapter does not prohibit a private club that is not open to the public and that, as an incident to its primary purpose, provides lodging that it owns or operates for other than a commercial purpose from limiting the rental or occupancy of the lodging to its members or from giving preference to its members.(c) This chapter does not prohibit a person engaged in the business of furnishing appraisals of real property from considering in those appraisals factors other than race, color, religion, sex, disability, familial status, or national origin. Added by Acts 1993, 73rd Leg., ch. 268, Sec. 40, eff. Sept. 1, 1993.Amended by: Acts 2025, 89th Leg., R.S., Ch. 1096 (H.B. 4211), Sec. 2, eff. June 20, 2025.
Texas Property Code § 301.042 carves out three narrow exemptions from the state's fair housing requirements. First, religious organizations and their affiliated nonprofits may limit or give preference in the sale, rental, or occupancy of non-commercially operated dwellings to members of their own religion—unless that religion restricts membership based on race, color, or national origin. A 2025 amendment clarifies that this religious exemption does not extend to single-family homes, duplexes, triplexes, or quadruplexes situated on subdivided lots within parcels of 25 acres or more owned by such organizations. Second, private clubs that are not open to the public may restrict their non-commercial lodging to their own members, and third, real property appraisers are permitted to consider factors beyond the protected characteristics listed in the chapter.
Plain English — not legal advice.
Religious organizations and affiliated nonprofits that own or operate housing under § 301.042 generally document that their dwellings are used for non-commercial purposes and that any religion-based preference or restriction does not hinge on race, color, or national origin. Following the 2025 amendment, operators should be aware that the religious exemption no longer covers single-family houses, duplexes, triplexes, or quadruplexes on subdivided lots within parcels of 25 acres or more, meaning standard fair housing rules apply to those properties. Private clubs relying on the membership-lodging exemption under § 301.042(b) typically maintain clear records demonstrating that the club is genuinely not open to the public and that lodging is incidental to the club's primary purpose.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Under § 301.042, tenants should understand that the exemptions it creates are limited in scope—religious organizations cannot use religion as a basis for preference if membership in that religion is itself restricted by race, color, or national origin, and the 2025 amendment removed the exemption for certain smaller residential properties on large religious-owned parcels. If a tenant believes a landlord is improperly claiming one of these exemptions to justify discriminatory treatment, they may consider filing a complaint with the Texas Workforce Commission Civil Rights Division or the U.S. Department of Housing and Urban Development, which enforces federal fair housing law alongside state provisions. Tenant-rights organizations can help individuals understand whether a claimed exemption under § 301.042 appears to apply to their situation.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated October 28, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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