Texas just blocked these 4 countries from buying land — the new law shakes things up, here's what it means

Texas recently passed a law that has already sparked national debate. With national security in mind, the state is prohibiting citizens and businesses from four countries from purchasing landand the consequences could be significant.

Which countries are affected and why?

Texas will reportedly now prohibit China, Russia, Iran, and North Korea from purchasing land beginning September 1, 2025. The purchase of land and property by specific foreign nationals and entities is being outlawed by a major U.S. state.


The move is being framed as a national security measure, but critics believe it will lead to racial discrimination. The law imposes stiff penalties and applies to almost all types of property, including homes and farmland.

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What’s actually banned under the new law?

Recently, Texas Governor Greg Abbott signed Senate Bill 17 into law, making it illegal for people and groups from North Korea, China, Russia, and Iran to purchase real estate in the Lone Star State. These nations are listed as threats in the U.S. Intelligence Community's 2025 Annual Threat Assessment, as per a report by MoneyWise.

The term "real property" as defined by the bill, is broad and includes standing timber, commercial and industrial properties, residential properties, agricultural land, mines, minerals, and groundwater and water rights.

Violations are considered state jail felonies under the law, and the civil penalties are $250,000 or 50% of the market value of the property, whichever is higher. Additionally, on September 1, 2025, the bill will go into effect.

"Gov. Abbott signed our bill to shield Texas from the influence of hostile foreign countries," said State Representative Cole Hefner, who co-authored the bill. "This is about defending Texas—our way of life, our security, and our sovereignty."

Since people may be denied business opportunities even if they do not fit into this category, critics of the bill warn that it could result in discrimination. They may cut their losses and declare they will not sell to Asians of any kind after state representative Gene Wu warns that people may be turned away from Asian faces.

FAQs

Who can no longer purchase land in Texas under the new law?
Beginning September 1, 2025, citizens, companies, and governments from China, Russia, Iran, and North Korea will be prohibited from purchasing real estate in Texas.


What types of property are subject to the law?
This includes residential and commercial real estate, farmland, mineral rights, and even water access.