More Affordable Housing Is Coming, the Texas Legislature Says

Calling it a win for those who need less expensive housing and for first-time home buyers, Texas lawmakers finally came to a compromise on Sunday and passed an affordable housing bill in the final 26 hours of its regular bi-yearly session.

The legislature, which meets every two years for just six months, is winding down on it's final day Monday, but not before passing of Senate Bill 15, which aims to stop cities from requiring homes in new subdivisions to have a 1,400 square feet minimum lot size. The creation of small lots sizes, and therefore smaller homes, will lead to lower home prices, the notion goes.

Most homes in Texas are built on lots much larger, usually between 5,000 and 7,000 square feet.

There were concerns from some partisans on both sides of the aisle over the bill's override of city authority in lot-size cases, fearing the bill might interfere with cities' ability to make coherent planning decisions.

The legislature tried a similar bill last session (2023) but it didn't make it all the way to passing both houses.

This time, the plan to revamp housing requirements goes to Governor Greg Abbott for his signing to make it laws. Key provisions of the bill include elimination of city-imposed minimum lot sizes greater than 3,000 sq. ft. for new subdivisions in cities with populations >150,000, counties with 300,000+ residents, and the allowing of developers to build more affordable homes i.e. townhomes, starter homes

The bill promises no impact on HOA requirements, deed restrictions, historic preservation laws, sewer and water infrastructure, building codes, or flood regulations, while targeting new subdivisions on at least 5 acres, enabling community-oriented growth, the bill's author, state Senator Paul Bettencourt noted on Sunday.

The conservative Texas Public Policy Foundation also praised the passing of the bill.

"Passage of Senate Bill 15 marks a turning point in the fight for housing affordability. It sends a clear message that Texas will no longer tolerate policies that price working families out of the market," said John Bonura, Policy Analyst for TPPF's Taxpayer Protection Project. 


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