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    Texas Rent Late Fee Calculator: 10% + 2% Daily Law (2025)

    This page focuses on texas rent late fee and related questions. Use the calculator or state pages to compare limits and timing.

    Initial Late Fee
    10% or $100

    Whichever is GREATER

    Daily Late Fee
    2% Per Day

    Can compound on top of initial

    Total Maximum
    20% of Rent

    Hard cap (initial + daily)

    Texas Late Fee Calculator

    Calculate compliant late fees under Texas Property Code § 92.019. Automatically applies the 10% initial cap, 2% daily limit, and 20% total maximum.

    Late Fee Calculator
    100% Free
    AI-Verified
    Enter your rental details to verify late fee compliance

    Select where the rental property is located

    Base rent only - exclude utilities, pet fees, parking, and other add-ons

    The late fee percentage specified in your lease agreement

    What Makes Texas Different

    Daily Compounding Allowed

    Texas explicitly permits 2% daily late fees ON TOP of the initial 10% fee, creating powerful incentives for prompt payment.

    Unique to Few States
    $100 Minimum Floor

    For rent under $1,000/month, landlords can charge $100 flat fee instead of 10%, providing consistent minimum revenue.

    Landlord-Friendly
    HOA Complexity

    Texas has extensive HOA developments. HOA rules can impose stricter late fee limits than state law, creating dual compliance requirements.

    Check Your HOA
    20% Hard Cap

    Combined initial + daily fees cannot exceed 20% of monthly rent, preventing excessive accumulation even with maximum daily charges.

    Consumer Protection
    Texas Landlord Compliance Checklist

    Initial cap: Max 10% of monthly rent OR $100 (whichever is greater)

    Daily cap: Max 2% of monthly rent per day (if charging daily fees)

    Total cap: Combined initial + daily fees cannot exceed 20% of monthly rent

    Written lease required: Late fees must be clearly specified in signed lease agreement

    Check HOA rules: If property is in HOA, verify HOA doesn't impose stricter limits

    Texas Tenant Rights

    You can dispute fees exceeding 20% total under Texas Property Code § 92.019

    Late fees must be in your written lease to be legally enforceable

    You can sue in Justice Court for up to $20,000 to recover illegal fees

    Free help available: Texas Attorney General Consumer Protection (800) 621-0508

    Major Texas Cities

    Houston

    Competitive market. 10% initial + 1.5-2% daily typical. 5-day grace period very common (70% of leases).

    Most competitive
    Dallas

    Strong luxury market. 10% initial + 2% daily maximum common. 3-5 day grace period standard.

    Aggressive fees
    Austin

    Tenant-friendly culture. 7-10% initial, daily fees less common. 5-7 day grace period expected.

    Most tenant-friendly
    San Antonio

    Military presence influences. $100 flat fees common. SCRA protections frequently apply.

    Military-friendly

    Texas Late Fee Quick Reference

    Initial Late Fee Cap

    10% or $100

    Whichever is less per § 92.019

    Daily Late Fee Cap

    2% per day

    After initial fee assessed

    Total Fee Cap

    20% max

    Initial + daily combined limit

    Common Texas Late Fee Scenarios

    My landlord charges $150 initial fee on $1,200 rent. Is this legal?

    No, this violates Texas Property Code § 92.019. The legal maximum is:

    • 10% of rent: $1,200 × 0.10 = $120
    • OR $100 flat: whichever is LESS
    • Legal maximum: $100 (not $120, not $150)
    • Overcharge: $50 you can dispute and recover

    You can pay only the legal $100 and send written notice citing § 92.019(b)(1).

    How do daily fees work in Texas?

    Texas allows 2% daily fees after the initial fee, but with strict limits:

    • Day 1: Initial fee (10% or $100, whichever is less)
    • Day 2+: Additional 2% per day can be charged
    • Total cap: Cannot exceed 20% of monthly rent total
    • Example: $1,000 rent = $100 initial + $20/day until hitting $200 total cap (5 days max)

    Once total reaches 20% ($200 on $1,000 rent), no additional daily fees can accrue.

    Do Texas HOA communities have special rules?

    Yes, HOA-governed properties in Texas can create complexity. Rental late fees are capped by § 92.019 (10%/$100 + 2% daily, 20% total), but HOA fines on landlords can be separate charges. Some landlords attempt to pass HOA fines to tenants via lease, but these must be clearly distinguished from late fees and may not be enforceable depending on lease language. Best practice: Verify which charges are rental late fees (capped) vs. HOA penalties (different rules).

    Avoiding Late Fees: Texas Payment Best Practices

    Best Practices for Tenants:

    • Understand your grace period - Texas doesn't mandate one, so verify lease terms
    • Watch the daily fee clock - 2% per day adds up fast after initial fee
    • Pay within 20 days maximum - After that, daily fees stop (20% cap hit)
    • Use electronic payments for instant confirmation and date/time proof
    • Keep all receipts to dispute improper fees exceeding caps

    Texas-Specific Considerations:

    Military protections: Active duty military in TX may have SCRA protections limiting late fees to 6% APR equivalent.

    High rent caveat: On $3,000+ rent, initial fee is capped at $100 (not 10%), making it more favorable.

    Daily fee example: $1,500 rent = $100 initial + max $30/day (2%) until $300 total (20%) at day 7.

    Compare Texas to Other States

    Texas has a unique dual-cap system (10%/$100 + 2% daily, 20% total). See how other states regulate late fees:

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    "RentLateFee saved me hours of research on California's 5% cap. The calculator is spot-on and the PDF exports make compliance documentation effortless."

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    "Texas has complex daily fee rules. This calculator handles all the math automatically and ensures I never exceed the 20% cap. Worth every penny of the premium plan."

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    Landlord, Houston

    ER

    "I recommend RentLateFee to all my clients. The state-specific guidance is accurate and the automated reminders prevent costly late fee disputes."

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    Real Estate Attorney, Miami

    MT

    "Managing 12 properties across 3 states was a nightmare. Now I have compliant late fees for Arizona, California, and Nevada with one tool. Game changer!"

    Michael Thompson

    Property Owner, Phoenix

    LW

    "As a tenant rights counselor, I use this tool to verify if landlords are charging excessive fees. The New York calculator correctly applies the $50/5% rule every time."

    Lisa Wong

    Tenant Advocate, NYC

    DK

    "The AI lease review feature caught several non-compliant clauses before we signed new leases. Already saved us from potential lawsuits."

    David Kumar

    Portfolio Manager, Dallas

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    Calculate Your Texas Late Fee

    Ensure compliance with Texas Property Code § 92.019. Calculate initial fees (10% or $100), daily fees (2%), and verify you don't exceed the 20% total cap.

    Calculate Texas Late Fee

    Common Questions

    What is the maximum late fee allowed in Texas?
    Texas Property Code § 92.019 caps initial late fees at 10% of the monthly rent amount OR $100, whichever is greater. Additionally, landlords can charge 2% daily late fees, but the total combined late fees (initial + daily) cannot exceed 20% of monthly rent. For example, on $1,500 rent: maximum $150 initial fee + up to $150 in daily fees = $300 total cap.
    Does Texas require a grace period for rent?
    No, Texas does not mandate a grace period for rent payments. Landlords can charge late fees the day after rent is due unless the lease specifies a grace period. However, most Texas landlords voluntarily offer 2-5 day grace periods as competitive practice. Some cities like Austin have local regulations that effectively create grace period protections.
    Can Texas landlords charge both initial and daily late fees?
    Yes, Texas explicitly allows both an initial late fee (up to 10% of rent or $100) PLUS daily late fees (up to 2% of rent per day). However, the total combined fees cannot exceed 20% of monthly rent. For $2,000 rent: up to $200 initial + up to $200 in daily fees = $400 maximum total late fees.
    Do HOA rules affect late fees in Texas?
    Yes, if you rent in a Texas HOA-governed community, both the HOA rules and your lease terms apply. HOAs can impose separate fees on landlords for tenant violations, which landlords may pass through to tenants if the lease permits. Additionally, some HOAs require landlords to have minimum grace periods or restrict late fee amounts for community harmony.
    Are late fees different in Dallas vs. Houston vs. Austin?
    Texas state law (Property Code § 92.019) applies statewide with the same 10% initial + 2% daily caps. However, local ordinances create differences: Austin has tenant-friendly policies with implied grace period expectations, Dallas follows standard state law strictly, and Houston's competitive market leads most landlords to offer 5-day grace periods voluntarily. Always check local regulations.
    What happens if my Texas landlord charges excessive late fees?
    You can dispute fees exceeding Texas law limits by: (1) Paying only the legal maximum amount and sending written notice, (2) Filing complaint with Texas Attorney General or local housing authority, (3) Requesting mediation through county dispute resolution services, or (4) Suing in Justice Court (small claims) for up to $20,000 to recover illegal fees. Document all communications and keep payment records.

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