TX HB4211

Creates Chapter 223 of the Property Code to regulate "residential arrangements" where purchasers buy interests in business entities (LLCs, corporations, partnerships) that grant exclusive possession of single-family homes, duplexes, triplexes, or quadruplexes

Requires purchase agreements to clearly disclose that buyers are acquiring an interest in the business entity, not the residential property itself

Prohibits mandatory arbitration clauses in these arrangements, requiring disputes to be resolved in Texas or federal courts

Allows owners to transfer their interest without approval from the managing entity and prohibits the entity from charging transfer fees or taking a share of sale proceeds

Creates an exemption from fair housing restrictions (Chapter 301) for religious organizations selling or renting dwellings on subdivided lots within parcels of 25 acres or more that they own

Violations are actionable as deceptive trade practices, and courts may enjoin violators from development activities including filing for municipal utility districts or receiving public money