Texas late rent fee: the legal maximum
Texas caps late fees at 12% of the monthly rent. Rent must be at least 2 days late before any fee may be charged.
Maximum late fee at common rents
Applying 12% of monthly rent once the 2-day grace period has passed.
| Monthly rent | Maximum fee |
|---|---|
| $1,000.00 | $120.00 |
| $1,500.00 | $180.00 |
| $2,000.00 | $240.00 |
| $3,000.00 | $360.00 |
What the statute says
Late fee must be in the written lease, be reasonable, and may be charged only after any portion of rent has remained unpaid two full days after the due date. A fee is presumed reasonable if it does not exceed 12% of the rent for the period in a structure with 4 or fewer units, or 10% in a structure with more than 4 units; it may combine an initial fee and a daily fee. Violation: $100 plus three times the improper fee plus attorney fees.
How this applies in practice
- A late fee must be written into the lease. The statute caps what the lease may say; it does not create a fee on its own.
- Rent is not "late" for fee purposes until 2 days after the due date. A fee charged earlier is unenforceable.
- Any amount above the cap cannot be collected or deducted from the deposit, and in several states charging an unlawful fee exposes the landlord to damages.
- Late fees are separate from interest on unpaid rent and from eviction filing costs, which have their own rules.
Related Texas rules
- Pay-or-quit notice: 3 days. Notice periods in Texas.
- Security deposit: No statutory limit; returned Refund (and itemized deductions) on or before the 30th day after the tenant surrenders the premises; the landlord is not obligated until the tenant provides a written forwarding address (§ 92.107). Deposit rules in Texas.
- All rules on one page: Texas landlord and tenant law.
Frequently asked questions
What is the maximum late fee for rent in Texas?
12% of monthly rent. Late fee must be in the written lease, be reasonable, and may be charged only after any portion of rent has remained unpaid two full days after the due date. A fee is presumed reasonable if it does not exceed 12% of the rent for the period in a structure with 4 or fewer units, or 10% in a structure with more than 4 units; it may combine an initial fee and a daily fee. Violation: $100 plus three times the improper fee plus attorney fees.
Is there a grace period for rent in Texas?
Yes. State law requires rent to be 2 days late before a late fee can be charged, regardless of what the lease says.
Can a Texas landlord charge a daily late fee?
Only if the total stays within the statutory cap (12% of monthly rent). A daily fee that accumulates past the cap is unenforceable above it.
Can a landlord charge a late fee that is not in the lease in Texas?
No. A late fee is a contract term. If the lease does not provide for one, the landlord cannot impose it, and in Texas the statutory cap applies on top of whatever the lease says.