Texas Fair Housing Act: Property Code Chapter 301 & TWC

TL;DR

The Texas Fair Housing Act (TFHA), codified at Texas Property Code Chapter 301, is Texas's state-law counterpart to the federal Fair Housing Act (42 U.S.C. §§3601-3619). Section 301.002 states the TFHA's purposes: fair housing practices, a procedure for investigating and settling discriminatory-housing complaints, and rights and remedies "substantially equivalent to those granted under federal law." That substantial-equivalency framework is the operative principle — the TFHA is designed to enforce the same substantive protections as the federal FHA through a Texas-based procedural regime, allowing HUD to refer complaints to the state agency and to fund state enforcement. Enforcement authority is vested in the Texas Workforce Commission's Civil Rights Division under §301.0015 (transferred from the former Commission on Human Rights in 2004). The TFHA prohibits discrimination on the basis of RACE, COLOR, RELIGION, SEX, FAMILIAL STATUS, NATIONAL ORIGIN, and DISABILITY — the same seven protected classes as federal law. Section 301.0045 (added later) prohibits racial discrimination based on hair texture or protective hairstyle (the CROWN Act protection). Section 301.081 requires administrative complaints to be filed within ONE YEAR of the alleged discriminatory practice; §301.151 permits private civil actions within TWO YEARS. Section 301.062 constrains TWC rulemaking to "the same as are provided in federal fair housing regulations," and §301.005 provides that statutory civil remedies "may not be expanded beyond their express statutory terms" — keeping the TFHA aligned with federal doctrine rather than expanding beyond it.

The substantial-equivalency framework

Section 301.002 states the TFHA's three enumerated purposes: (1) to provide for fair housing practices in this state; (2) to create a procedure for investigating and settling complaints of discriminatory housing practices; and (3) to provide rights and remedies substantially equivalent to those granted under federal law. The "substantially equivalent" language is the operating principle of the entire TFHA. Under HUD's substantial-equivalency certification program, state and local agencies whose fair-housing laws provide substantive rights and remedies substantially equivalent to those of the federal FHA can enter into cooperative agreements with HUD to investigate housing discrimination complaints — and receive federal funding for closed cases through the Fair Housing Assistance Program (FHAP).

The Texas Workforce Commission's Civil Rights Division holds substantial-equivalency certification. HUD refers Texas-based housing discrimination complaints to the TWC Civil Rights Division for investigation, and TWC in turn cooperates with HUD under §301.066. This bidirectional referral relationship means a Texas resident complaining about housing discrimination will typically encounter the TWC Civil Rights Division as the primary state-side investigator, with federal HUD involvement as a backstop or in cases warranting federal-court enforcement. For related state-specific frameworks, see our Texas landlord-tenant law guide and our Texas license law key rules guide.

Protected classes and prohibited practices

The TFHA protects the same seven categories as the federal Fair Housing Act (as amended by the 1988 Fair Housing Amendments Act):

Section 301.0045, added in a later legislative session as Texas's CROWN Act protection, prohibits racial discrimination based on hair texture or protective hairstyle. This extends the "race" category by clarifying that discrimination against natural hair textures (afros, locs, twists, braids, and comparable protective styles) is race discrimination for TFHA purposes. Section 301.005 provides that the statutory civil remedies or theories of recovery created by the chapter "may not be expanded beyond their express statutory terms" — a substantive-limits provision that keeps the TFHA aligned with the federal FHA framework and cabins the reach of state-law claims.

The prohibited practices under §§301.021-301.027

§301.021 Sale or Rental. Prohibits discrimination in the sale or rental of a dwelling based on any protected characteristic. Covers refusal to sell or rent, refusal to negotiate for sale or rental, and comparable direct refusals of the housing transaction.

§301.022 Publication. Prohibits discriminatory advertising — publication of any advertisement or notice about a dwelling for sale or rent that indicates a preference, limitation, or discrimination based on a protected characteristic. Applies to online listings, print advertisements, and comparable public communications.

§301.023 Inspection. Prohibits discrimination during property inspection — refusing to permit inspection, or providing a materially different inspection experience, based on a protected characteristic.

§301.024 Entry into Neighborhood. Prohibits blockbusting-style representations that entry into a neighborhood by persons of a protected class will result in adverse effects on the community.

§301.025 Disability. Covers reasonable-accommodation requirements, permission-for-necessary-modifications requirements, and specific new-construction accessibility design and construction requirements for covered multifamily dwellings (mirroring the federal FHA's Title VIII disability provisions).

§301.026 Residential Real Estate Related Transaction. Prohibits discrimination in financing, appraisals, and related transactions.

§301.027 Brokerage Services. Prohibits discrimination in the provision of brokerage services — access to MLS, real estate boards, and related professional services.

Exemptions under §§301.041-301.044

The TFHA carries limited exemptions that mirror federal FHA exemptions:

§301.041 — Certain sales and rentals exempted. The classic "Mrs. Murphy" exemption: owner-occupied buildings with no more than 4 units, and single-family housing sold or rented WITHOUT a broker (subject to specific conditions). These exemptions do NOT apply to §301.022's advertising prohibitions — discriminatory advertising is prohibited even in otherwise-exempt transactions.

§301.042 — Religious organization, private club, and appraisal exemption. Religious organizations may give preference to their members in property they own or operate for non-commercial purposes if membership is not restricted by protected characteristics. Private clubs may give preference to their members. Appraisals may consider factors permitted by professional appraisal standards without violating the TFHA.

§301.043 — Housing for elderly exempted. Housing designed and operated for older persons under specific federal FHA "Housing for Older Persons Act" criteria is exempt from the familial-status protections. The two principal categories: (1) housing intended and operated for occupancy by persons 62 or older, and (2) housing where at least 80% of occupied units are occupied by at least one person 55 or older.

§301.044 — Effect on other law. The TFHA does not affect the operation of laws not inconsistent with its terms — the state and federal fair-housing framework coexists with local ordinances and other applicable law.

Administrative enforcement under §§301.081-301.093

Section 301.081 is the administrative-complaint gateway. Complaints must be filed within ONE YEAR of the alleged discriminatory housing practice (measured from the practice's occurrence or termination, whichever is later). The complaint must be in writing, under oath, and identify the alleged practice, the parties, and the facts supporting the complaint. The TWC Civil Rights Division serves the complaint on each respondent within 20 days.

The administrative process moves through investigation (§301.083), conciliation (§301.085), and reasonable-cause determination (§301.088). If reasonable cause exists, the Division issues a charge (§301.089). Either party may then elect judicial determination under §301.093 — moving the case out of the administrative-hearing track to district court within 30 days of the charge. If no election is made, the case proceeds to administrative hearing (§301.111) with civil penalties available under §301.112.

Civil penalties. Under §301.112, the commission may order appropriate relief, including actual damages, attorney fees, costs, and injunctive or equitable relief. To vindicate the public interest, civil penalties may reach $10,000, $25,000, or $50,000 depending on prior discriminatory-housing findings and the applicable 5-year or 7-year lookback period. Section 301.115 requires the commission to notify the Attorney General when an order issues against a respondent who had another order within the preceding 5 years.

Attorney General enforcement. Under §301.131, on election of judicial determination by any party, the Division authorizes the Texas Attorney General to file suit in district court within 30 days. Under §301.132, the Attorney General may also file a "pattern or practice" civil action in district court on request of the Division for appropriate relief.

Private civil actions under §301.151

Section 301.151 permits an aggrieved person to file a private civil action in district court within TWO YEARS of the date of the occurrence or termination of an alleged discriminatory housing practice, or the breach of a conciliation agreement, whichever occurs last. The 2-year private-action window is measured separately from the 1-year administrative-complaint window under §301.081 — a complainant who missed the 1-year administrative window may still pursue a private civil action within 2 years. However, the 2-year period does NOT include any time during which an administrative hearing is pending with respect to a complaint or charge based on the discriminatory housing practice — the clock tolls during administrative proceedings.

Private civil actions can yield actual damages, injunctive relief (including court orders to stop discriminatory practices or to provide the housing that was denied), punitive damages, and attorney fees. The private-action pathway is often used where a complainant wants a broader damage recovery than the administrative process typically produces, or where the administrative process has stalled or produced an unfavorable outcome.

How the TFHA differs from the federal FHA in practice

The TFHA is substantively equivalent to but procedurally distinct from the federal FHA. Substantive protections mirror the federal statute — same seven protected classes, same core prohibited practices, same principal exemptions. The differences are largely procedural: the TFHA is enforced by the TWC Civil Rights Division rather than HUD's Office of Fair Housing and Equal Opportunity (FHEO); administrative complaints go to TWC with HUD-cooperation referral; and Texas-court civil actions proceed under Texas rules with the Texas Attorney General as the enforcement authority for pattern-or-practice cases.

For a person alleging discrimination, the practical significance is that they can file with EITHER TWC or HUD — under the cooperative framework, TWC and HUD refer cases to each other. Section 301.083 addresses TWC's obligation to investigate complaints referred by the federal government. Filing with the state agency generally means faster local investigation but potentially less-well-funded enforcement; filing with HUD gives access to federal resources but often leads to referral back to TWC anyway. For related state-specific frameworks that intersect with fair housing enforcement, see our Texas license law key rules guide for real estate licensee obligations under fair housing rules.

Frequently Asked Questions

Does the TFHA add protected classes beyond the federal Fair Housing Act?

No, not in the sense of adding new distinct protected classes. The TFHA covers the same seven categories as the federal FHA: race, color, religion, sex, familial status, national origin, and disability. Section 301.005's construction rule provides that statutory civil remedies "may not be expanded beyond their express statutory terms" — a signal that the TFHA is designed to mirror rather than exceed the federal framework. Section 301.0045 (added later) prohibits racial discrimination based on hair texture or protective hairstyle, but this is a clarifying protection within the race category, not a new distinct class.

Where do I file a housing discrimination complaint in Texas?

You can file with either the Texas Workforce Commission's Civil Rights Division (state) or the U.S. Department of Housing and Urban Development's Office of Fair Housing and Equal Opportunity (federal). Under the cooperative substantial-equivalency framework, both agencies refer cases to each other, so filing with either typically leads to investigation by TWC (as the substantially-equivalent state agency). Filing with TWC often produces a faster local response; filing with HUD may be preferable if you anticipate federal-court enforcement. Complaints must be filed within one year of the alleged discriminatory practice under §301.081. Both agencies accept complaints online, by mail, or in person.

What is the difference between the administrative complaint window and the private civil action window?

The administrative complaint window under §301.081 is ONE YEAR from the date of the alleged discriminatory practice. The private civil action window under §301.151 is TWO YEARS from the same date (or the breach of a conciliation agreement, whichever is later). The 2-year private-action window is measured separately and continues to run even if you have missed the 1-year administrative window. Additionally, the 2-year period tolls during any pending administrative hearing on the same discriminatory practice.

Can a landlord be exempt from TFHA and still be liable for discriminatory advertising?

Yes. The §301.041 exemptions (owner-occupied ≤4 units; single-family sold or rented without a broker) do not apply to §301.022's advertising prohibitions. Even a landlord whose sale or rental transaction itself is exempt cannot publish discriminatory advertisements — a "no children" or "Christians only" ad, for example, is prohibited regardless of whether the underlying property transaction is TFHA-exempt. This is the same treatment federal law gives §3604(c) discriminatory advertising claims.

What penalties does the TWC impose for TFHA violations?

Under §301.112, civil penalties may reach $10,000, $25,000, or $50,000 depending on prior discriminatory-housing findings and the applicable 5-year or 7-year lookback period. The Division may also order appropriate relief including compensatory damages, attorney fees, and injunctive relief to stop the discriminatory practice. In severe cases, criminal penalties may apply — for example, using threats or force to prevent someone from renting or buying a property can carry fines up to $4,000 and up to one year in jail. The Attorney General may also seek broader relief in pattern-or-practice cases under §301.132.

Are real estate brokers and agents personally liable for TFHA violations?

Yes. Section 301.027 specifically prohibits discrimination in the provision of brokerage services. Licensed real estate professionals are subject to TFHA obligations both as individual actors (they cannot themselves discriminate) and as agents of principals (they cannot follow discriminatory instructions from a seller or landlord). TREC — the Texas Real Estate Commission — treats fair housing compliance as a core licensee responsibility, and TFHA violations by a licensee can trigger both TFHA civil penalties and TREC administrative discipline. Texas licensees are tested on and expected to comply with fair-housing duties, and fair-housing issues may also appear in TREC education and enforcement contexts.

Bottom Line

The Texas Fair Housing Act at Texas Property Code Chapter 301 is Texas's state-law counterpart to the federal Fair Housing Act, designed under §301.002 to provide "rights and remedies substantially equivalent to those granted under federal law." Enforcement is vested in the Texas Workforce Commission's Civil Rights Division under §301.0015 (transferred from the former Commission on Human Rights in 2004). The TFHA prohibits discrimination based on RACE, COLOR, RELIGION, SEX, FAMILIAL STATUS, NATIONAL ORIGIN, and DISABILITY — the same seven protected classes as the federal FHA. Section 301.0045 (later addition) prohibits racial discrimination based on hair texture or protective hairstyle (CROWN Act). Prohibited practices include discrimination in sale/rental (§301.021), advertising (§301.022), inspection (§301.023), blockbusting (§301.024), disability accommodation (§301.025), residential real estate financing/appraisal (§301.026), and brokerage services (§301.027). Exemptions under §§301.041-301.044 mirror federal exemptions but do NOT apply to §301.022 discriminatory advertising. Administrative complaints must be filed within ONE YEAR of the alleged practice under §301.081; private civil actions must be filed within TWO YEARS under §301.151, with tolling during pending administrative proceedings. Civil penalties under §301.112 may reach $10,000, $25,000, or $50,000 depending on prior discriminatory-housing findings and the applicable lookback period. Section 301.062 constrains TWC rulemaking to "the same as are provided in federal fair housing regulations," and §301.005 provides that statutory civil remedies "may not be expanded beyond their express statutory terms" — keeping the TFHA aligned with federal doctrine. For related state-specific frameworks, see our Texas landlord-tenant law guide, our Texas license law key rules guide, and our Texas contract contingencies guide.

Source: Texas Property Code Chapter 301 — Texas Fair Housing Act · Texas Workforce Commission Civil Rights Division — TFHA Enforcement · HUD Office of Fair Housing and Equal Opportunity — Federal FHA Overview