Real Estate Compliance Crunch
Three agencies, four bills, one deadline. TREC, HHSC, and county courts are all implementing major changes. Are you ready for all three?
The Bottom Line
The real estate industry faces a triple compliance deadline on January 1, 2026. Three of four bills in this package carry critical urgency ratings — meaning they require immediate attention and create significant operational changes.
For real estate professionals: SB 1968 rewrites TREC licensing requirements. If you hold a Texas real estate license, your continuing education requirements, supervision rules, and practice standards are changing.
For landlords and property managers: SB 38 overhauls eviction procedures. The new law favors property owners but creates new procedural requirements. Miss a step and your eviction may be dismissed.
For senior housing operators: SB 1522 dramatically expands continuing care facility regulation under HHSC. If you operate any form of senior living community, you need to evaluate whether the new definitions capture your operation.
Who's Writing the Rules
Texas Real Estate Commission (TREC)
SB 1968 — Licensing and Regulation
TREC is developing new rules for real estate professional licensing. Key changes include revised education requirements, updated supervision standards for sales agents, and new disciplinary procedures.
Status: TREC is accepting stakeholder input through its regular rulemaking process. Licensed professionals and brokers should monitor the Texas Register for proposed rules.
Health and Human Services Commission (HHSC)
SB 1522 — Continuing Care Facilities
HHSC gains expanded authority over continuing care retirement communities (CCRCs) and similar senior living arrangements. The bill expands the definition of regulated facilities and adds new financial disclosure requirements.
Status: HHSC is developing implementation guidance. Operators who currently believe they're exempt should verify their status under the new definitions.
Justice of the Peace Courts
SB 38 — Eviction Procedures
County courts will implement new eviction procedures that streamline removal of unauthorized occupants. The law creates new procedural requirements for property owners while expediting certain eviction types.
Status: Each county's JP courts may develop local procedures. Property managers should contact their local courts to understand how the new law will be implemented in their jurisdiction.
What's NOT Settled
TREC Education Requirements (SB 1968)
The bill changes continuing education requirements, but specific course requirements and approval criteria are left to TREC rulemaking. Education providers and licensees should monitor for new requirements.
Who decides: Texas Real Estate Commission
Continuing Care Facility Definitions (SB 1522)
The expanded definition of “continuing care facility” may capture operations that weren't previously regulated. HHSC will provide guidance on which senior living arrangements require registration.
Who decides: HHSC, with potential for contested case hearings
Eviction Timeline Specifics (SB 38)
While the law expedites certain evictions, specific timelines and procedural requirements may vary by county. Property managers operating across multiple counties should expect variation.
Who decides: Individual Justice of the Peace courts
What Smart Operators Are Doing Now
Submit Comments to TREC
TREC's rulemaking process allows for stakeholder input. Real estate professionals, brokers, and associations should submit comments on proposed rules before they're finalized.
Verify CCF Registration Status
Senior living operators should consult with HHSC to determine whether their operations require registration under SB 1522's expanded definitions. Don't assume existing exemptions still apply.
Update Eviction Procedures
Property managers should revise eviction protocols to comply with SB 38 requirements. Contact your local JP court to understand how they'll implement the new procedures.
Train Your Teams
Licensed agents need to understand new TREC requirements. Property managers need new eviction procedures. Senior living staff need updated compliance protocols. Start training now.
How We Help
JD Key Consulting works with real estate companies and associations navigating regulatory change at TREC, HHSC, and other state agencies. We specialize in strategic engagement during rulemaking — helping clients influence how new laws are implemented.
- Representation at TREC rulemaking proceedings on SB 1968 implementation
- Strategic engagement with HHSC on continuing care facility definitions
- 90th Legislature positioning for potential amendments to real estate statutes
Three Agencies. One Deadline. Zero Margin for Error.
January 1 isn't just a compliance deadline — it's when the window closes to influence how these rules work. Let's discuss your real estate regulatory exposure.
Frequently Asked Questions
What Texas real estate laws take effect January 1, 2026?
Four major real estate bills take effect January 1, 2026: SB 1968 (TREC licensing changes), SB 38 (eviction procedure reforms), SB 1522 (continuing care facility regulation), and HB 2525 (senior housing tax exemption). Three of these carry critical urgency ratings requiring immediate attention.
How does SB 1968 change Texas real estate licensing?
SB 1968 rewrites Texas Real Estate Commission (TREC) licensing requirements, affecting continuing education requirements, supervision standards for sales agents, and disciplinary procedures. TREC is developing implementing rules through its rulemaking process. Licensed professionals should monitor the Texas Register for proposed rules.
What is Texas SB 38 eviction reform?
SB 38 overhauls Texas eviction procedures for unauthorized occupants, effective January 1, 2026. The law generally favors property owners but creates new procedural requirements. Each county's Justice of the Peace courts may develop local procedures, so property managers should contact local courts to understand implementation.
Who is affected by Texas SB 1522 continuing care regulation?
SB 1522 dramatically expands HHSC regulation of continuing care retirement communities (CCRCs) and similar senior living arrangements. The expanded definition of 'continuing care facility' may capture operations that weren't previously regulated. Operators should verify their status under the new definitions with HHSC.
How can real estate professionals prepare for January 2026 changes?
Real estate professionals should: (1) Submit comments to TREC on proposed rules, (2) Verify CCF registration status with HHSC if operating senior housing, (3) Update eviction procedures for SB 38 compliance, and (4) Train teams on new requirements. Engaging agencies during rulemaking allows stakeholder input before rules are finalized.