Can a Foreigner Buy Land in Texas? ITIN, SB 17 and How It Works

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Watch on YouTube: Can a Foreigner Buy Land in Texas? ITIN, SB 17 and How It Works (10:54)

Chapters

1. 0:00 The answer
2. 0:59 Who we are
3. 1:14 Chapter 1. SB 17 in three questions
4. 2:32 Chapter 2. What it means for buyers from Latin America
5. 3:09 Chapter 3. Owning land versus financing it
6. 3:53 Chapter 4. ID and signing from abroad
7. 4:29 Chapter 5. Which parts are in Spanish
8. 4:56 Chapter 6. Sending money from another country
9. 5:46 Chapter 7. Buying with an LLC
10. 6:17 Chapter 8. The federal report most buyers miss
11. 7:20 Chapter 9. Taxes
12. 8:05 Chapter 10. The math on a real tract
13. 8:49 Questions we get every week
14. 9:55 Closing

Full video transcript

[0:01] Can a foreigner buy land in Texas, if you're from Mexico, Guatemala, Colombia or another country, even if you don't live in the United States? In many cases, yes. No federal law stops a non-citizen from owning land in the U.S. But Texas restricts certain foreign buyers under a law called SB 17, and owning land isn't the same as qualifying for financing. Texas law doesn't require an ITIN to own land; to finance with TerraFunded, you need a Social Security number or an ITIN.

[0:36] We work with eligible international buyers, subject to our financing requirements and applicable law. In this video: who SB 17 covers, buying versus financing, ID and signing from abroad, language, sending money, LLCs, a federal report for some land, taxes, and the math on a real tract.

[0:59] This is TerraFunded, from Dallas. We've sold rural Texas land with owner financing since 2020, more than 350 transactions, and every one closes at a licensed title company.

[1:18] SB 17, in effect since September 1, 2025, is about four designated countries today: China, Iran, North Korea and Russia, and the governor can add others. To see whether it touches you, ask three questions. One: your nationality. Are you a citizen of a designated country? Two: your domicile. Where do you actually live? People domiciled in a designated country are restricted, and so are some of their citizens who live in other countries or are in the U.S. unlawfully.

[1:56] Three: who controls the buyer. A company headquartered in, controlled from or acting for a designated country or its government is restricted. The main exceptions are U.S. citizens and green card holders, including dual citizens, and the companies they own. There's also a narrow exception for a home to live in, with specific requirements, so check it for your case.

[2:22] In December 2025, a federal appeals court upheld the dismissal of the first major lawsuit against the law, so it's in effect today.

[2:37] If you're from Mexico, Guatemala, Honduras, El Salvador, Colombia, Venezuela or most other countries, your nationality alone doesn't restrict you. But nationality isn't the only factor: where you live and who you're buying for matter too. At TerraFunded, we review every international purchase before we approve it. If anything in those three questions points to a designated country, get legal advice for your case before you reserve.

[3:14] Owning land and getting financing are two different things. Texas law doesn't require a Social Security number or an ITIN to own land. To finance with TerraFunded, you need one of them: that's our rule, not the state's. If you don't have a Social Security number, you apply for an ITIN with IRS Form W-7. Buying land doesn't make you eligible by itself; a tax preparer or an IRS-certified acceptance agent can tell you if you qualify.

[3:48] You don't need to be a U.S. citizen or resident to apply with us.

[3:58] You need a valid government ID, like your passport. To close, you can sign in person at the title company. Remote closing may be possible, depending on your country, the title company's requirements, your ID documents and the notarization available to you. A family member may also sign for you with a power of attorney arranged with the title company. Your Warranty Deed is recorded in your name at the county in Texas, like any other buyer's.

[4:34] Here's exactly which parts are in Spanish. You can talk with us in Spanish or English, by WhatsApp, phone and email. Your purchase contract comes in English and Spanish. The promissory note and the deed are in English only, and the title company can explain them to you in Spanish. And the company that services your monthly payments speaks Spanish.

[5:01] You reserve a tract with $1,000, through the secure checkout on terrafunded.com. It counts toward your down payment, and it's non-refundable, so see the land first. At closing, you send the down payment and about $1,500 in closing costs by wire to the title company's escrow account, never to a person. Confirm the wire instructions by phone, at a number you looked up yourself.

[5:28] After closing, your monthly payments go by the payment methods we give you. Want to see a tract before you reserve? Andy can show it to you in person any day of the week: call or text 214-306-8153.

[5:51] You can also buy in a company's name, and the Warranty Deed is recorded in the LLC's name. Our financing requires a personal guarantee: the person who signs signs twice, once as the company's manager and once personally. We explain it before closing. And remember that SB 17 also covers companies headquartered in, or controlled from, a designated country.

[6:22] One federal rule most foreign buyers never hear about. Under the Agricultural Foreign Investment Disclosure Act, if you're not a U.S. citizen or green card holder and you acquire an interest in U.S. agricultural land, you report it to the USDA's Farm Service Agency within 90 days, on form FSA-153. The federal definition is broader than active farming: it can include land used for farming, ranching or timber, and certain forest land, like tracts over 10 acres where at least 10% is covered by trees.

[7:00] So check whether your tract is reportable. Filing is free, but a late or missing report can be fined up to 25% of the land's value. The USDA has proposed changes to these rules, so check the current version at fsa.usda.gov.

[7:25] Every owner of Texas land pays property taxes to the county every year, wherever they live, and the year you buy is prorated at closing. If you rent the land out or sell it one day, U.S. tax rules apply. When a foreign person sells U.S. real estate, the buyer generally withholds 15% of the price for the IRS, under a law called FIRPTA. There are exceptions and reduced rates, and that withholding isn't necessarily your final tax: you file a return, and any excess comes back to you.

[8:01] Talk to a tax advisor about your case.

[8:09] Here's what it looks like on our Olney tract, in Young County, as of November 2026: $99,000 cash, or $118,800 financed. You put down $5,940, the 5% minimum, plus about $1,500 in closing costs. Then $1,213 a month for 180 payments, at a 10% APR, fixed. There's no prepayment penalty, so you can pay extra or pay it off whenever you want. Approval is without a bank, and the Warranty Deed is recorded in your name at closing.

[8:50] Can I buy land in Texas while living permanently in Mexico or Guatemala? In many cases, yes. SB 17 doesn't restrict buyers from those countries; to finance with us you need an ITIN or a Social Security number; and remote closing may be possible, depending on your country and the title company. Does SB 17 apply to green card holders? No. Do I have to live in the United States?

[9:21] No. Do I have to report the purchase to the federal government? Only if the land is agricultural or forest land under the federal definition: then you file form FSA-153 within 90 days. And does owning land help me get a U.S. visa or residency? No. Buying land, by itself, doesn't give you a visa, residency or any immigration status. What you get is the land, with a Warranty Deed in your name.

[9:55] So, can a foreigner buy land in Texas? In many cases, yes. Go in this order. First, check your legal eligibility under SB 17. Second, confirm the financing requirements: with us, an ITIN or a Social Security number. Third, confirm how you'll sign and how you'll send the money. Fourth, close through a licensed title company, with a Warranty Deed in your name.

[10:23] On our Young County tract, that's $5,940 down, then $1,213 a month for 180 payments, at a 10% APR, fixed. See every tract at terrafunded.com, or call or text Andy at 214-306-8153. Se habla español.

Page history

• November 11, 2026: Published with the video: SB 17 in three questions (status checked on November 11, 2026), owning versus financing, which documents come in Spanish, the AFIDA report and FIRPTA, with links to the official sources. General information, not legal or tax advice.