📅 2026 Update: Changes in Galveston Real Estate Law

Since the original article was written, several important changes have taken place regarding real estate law in Galveston. New legislation and updated local regulations have a direct impact on property ownership, short-term rentals, and the removal of unauthorized occupants. The information below highlights these key updates, while the earlier article continues further down the page.

🏡 Senate Bill 17: Foreign Property Ownership Restrictions

Senate Bill 17 went into effect on September 1, 2025. This law prohibits certain foreign nationals and entities from buying real property in Texas. It specifically targets people and organizations connected to countries deemed national security threats, including China, Russia, Iran, and North Korea.

This change aims to protect Texas real estate from foreign influence.

🚪 Senate Bill 1333: Removal of Unauthorized Occupants

On September 1, 2025, Senate Bill 1333 was enacted, introducing Chapter 24B to the Texas Property Code. This law provides a legal framework for the removal of certain unauthorized occupants from real property. Property owners now have more clear steps to take when dealing with unauthorized residents.

🏖️ Short-Term Rental Regulations

Galveston City Council updated its short-term rental (STR) regulations on November 13, 2025. These new rules require STR owners to have a local 24/7 contact available. Additionally, there are rapid complaint response measures in place, and properties can face license revocation after three violations within a year.

Compliance with these regulations is essential for STR operators.

🌆 Comprehensive Plan Update

The City of Galveston is currently updating its Comprehensive Plan. This update focuses on various aspects such as land use, economic development, transportation, and disaster planning. The plan aims to establish a 20-year vision with a 5-year implementation strategy.

This update will guide future development and community growth.

📌 Key Points to Remember

  • 🔒 SB 17 restricts foreign property ownership from specific countries.
  • 🚨 SB 1333 provides a legal way to remove unauthorized occupants.
  • 🏠 New STR regulations require a local contact and quick complaint responses.
  • 📈 The Comprehensive Plan Update will shape future development in Galveston.

💡 Tips for Navigating Real Estate in Galveston

Reviewing your specific situation with an attorney is essential to understand how these changes may impact you.

🏷️ Understand SB 17

Familiarize yourself with Senate Bill 17 if you are a foreign national interested in Texas real estate. Make sure you know whether you are affected by the new restrictions on property purchases.

📝 Know the Process for Unauthorized Occupants

If you face issues with unauthorized occupants, understand the steps outlined in Senate Bill 1333. Knowing how to file a complaint can help you resolve these issues more effectively.

📜 Stay Compliant with STR Regulations

If you operate a short-term rental, ensure you comply with the new regulations. Register through the city's STR portal before the December 31, 2025 deadline and maintain a local contact available at all times.

🌳 Check Land Development Regulations

Be aware of the Galveston Land Development Regulations (LDRs), which allow a maximum of 6 homes per acre for residential subdivisions. This includes a requirement for at least 20% open space in these developments.

📈 Keep Up with the Comprehensive Plan

Stay updated on the City of Galveston's Comprehensive Plan Update. Understanding the city's vision for land use and economic development can inform your real estate decisions.

❓ Frequently Asked Questions

🤔 What is Senate Bill 17?

Senate Bill 17 restricts foreign nationals from certain countries identified as national security threats from purchasing real property in Texas. This law aims to protect local real estate markets.

📋 How can I file a complaint about unauthorized occupants?

To file a complaint regarding unauthorized occupants, complete the Unauthorized Occupants complaint form and submit it to the Galveston County Pct. 4 Constable's Office. Be sure to include the applicable service fee.

🏘️ What are the new requirements for short-term rentals?

New short-term rental regulations require owners to have a local contact available 24/7. There are also rules regarding complaint responses and potential revocation of rental licenses after repeated violations.

🏙️ What is the Comprehensive Plan Update in Galveston?

The Comprehensive Plan Update focuses on land use, economic development, and disaster planning for Galveston. It aims to establish a long-term vision for the city’s growth and development.

🚪 What are the consequences of not following STR regulations?

Failure to comply with short-term rental regulations can lead to complaints and potential license revocation after three violations within a 12-month period. It's important for STR operators to stay informed.

📈 How does the Galveston Land Development Regulation affect new projects?

The Galveston Land Development Regulations allow for a maximum of 6 homes per acre for larger residential subdivisions. These rules also mandate that a minimum of 20% open space be included in such developments.

⚖️ Recent Cases Related to Galveston Real Estate

Recent court rulings have addressed issues surrounding property ownership, unauthorized occupants, and short-term rentals in Galveston. These rulings connect directly to the legislative updates discussed in this article.

Feel free to browse more rulings on the news page to stay updated on recent legal developments.

End of October 2026 Update





Galveston, Texas is located in the county with the same name and is considered to be in the Houston-Sugar Land-Baytown metropolitan area. Galveston is actually located on Galveston Island, just off shore of the Texas mainland. It is considered to be one the United States' major sea ports, which provides for the core of the economy for the city. Its main resources revolve around tourism and shipping.

Due to the city's tourism, much of the Galveston real estate activity will usually be centered on properties that are located near the beachfront, proving to be great investments as vacation homes and possibly even timeshares. The city attracts about five million tourists each year, allowing for Galveston real estate property to be a highly wanted commodity. 

Average listing prices for Galveston real estate is about $300,000, with areas located within the tourists’ areas or regions listed at slightly higher prices. However, the actual sales price average is much lower, only at about $85,000. These relatively low prices for property on a tourist location, particularly those situated near the beachfront, will prove to be a very worthy investment for many, either as a business opportunity or simply as a secondary or vacation home. 

Galveston Real Estate

Furthermore, Galveston real estate, such as condominiums and smaller houses on near the tourists’ areas can prove to be relatively cheap when considering their location, with average asking prices between $40,000 and $80,000. Larger homes may prove to have higher prices, though these homes will go for higher prices in similarly designed homes in other parts of the country.