Texas Statewide Rule

Texas Late Fees: Must Be Reasonable, 12%/10% Safe Harbor, 2-Day Grace (§ 92.019)

Some RestrictionsApplies statewide across Texas (2026)

Key Facts

Reasonableness: Late fee must be reasonable (§ 92.019)
Safe harbor: 12% of rent for 4 or fewer units; 10% for larger
Grace period: Rent unpaid two full days after due date
Lease notice: Fee must be stated in a written lease
Penalty: $100 + 3x the unlawful fee + attorney's fees

Last verified: September 5, 2026

Summary

Under Tex. Prop. Code § 92.019 a residential late fee must be reasonable and may be charged only if written in the lease and the rent stays unpaid two full days after due. A fee is deemed reasonable at up to 12% of rent for a structure with four or fewer units, or 10% for larger structures.

Sec. 92.019. LATE PAYMENT OF RENT; FEES. (a) A landlord may not collect from a tenant a late fee for failing to pay any portion of the tenant's rent unless: (1) notice of the fee is included in a written lease; (2) the fee is reasonable; and (3) any portion of the tenant's rent has remained unpaid two full days after the date the rent was originally due. (a-1) For purposes of this section, a late fee is considered reasonable if: (1) the late fee is not more than: (A) 12 percent of the amount of rent for the rental period under the lease for a dwelling located in a structure that contains not more than four dwelling units; or (B) 10 percent of the amount of rent for the rental period under the lease for a dwelling located in a structure that contains more than four dwelling units; or (2) the late fee is more than the applicable amount under Subdivision (1), but not more than uncertain damages to the landlord related to the late payment of rent, including direct or indirect expenses, direct or indirect costs, or overhead associated with the collection of late payment.

View official code

Full Breakdown

Tex. Prop. Code § 92.019 bars a landlord from collecting a late fee unless notice of the fee is in a written lease and "any portion of the tenant's rent has remained unpaid two full days after the date the rent was originally due." The fee must be reasonable. A late fee is deemed reasonable if it is "12 percent of the amount of rent" for a dwelling in a structure with not more than four units, or 10 percent for structures with more than four units; higher fees are allowed only if reasonable in relation to uncertain damages from the late payment. The fee may combine an initial charge and a daily charge, counted as a single late fee, and any lease provision waiving these protections is void.

Violations & Penalties

A landlord who violates § 92.019 is liable to the tenant for "the sum of $100, three times the amount of the late fee collected in violation of this section, and the tenant's reasonable attorney's fees."

Frequently Asked Questions

How much can a Texas landlord charge as a late fee?

The fee must be reasonable. Under Tex. Prop. Code § 92.019 it is deemed reasonable at up to 12% of the rent for a dwelling in a structure with four or fewer units, or 10% for a structure with more than four units. Higher amounts are allowed only if reasonable in relation to the landlord's uncertain damages.

When can a Texas landlord charge a late fee?

Only if the late fee is stated in a written lease and the rent has remained unpaid two full days after the date it was originally due. A late fee may not be collected before that two-day point passes.

What if a Texas landlord charges an illegal late fee?

Under § 92.019, the landlord is liable to the tenant for $100 plus three times the amount of the unlawfully collected late fee plus the tenant's reasonable attorney's fees. Any lease term waiving these protections is void.

Sources

See something wrong?

Help us keep this page accurate. If you notice an error or outdated information, let us know.