As of September 1, 2025, a new law called Senate Texas SB 140 that also affects real estate goes into effect, and it’s a game-changer for any real estate professional who uses a phone or text message to find new business.
Many agents experience prospecting friction: low answer rates, hostility, and list fatigue in expired and FSBO outreach. That sinking feeling when you’re about to dial another number from a long list of expireds or FSBOs. You brace for the hang-ups, the “who is this?” and the occasional angry homeowner. For years, we’ve been told this is just “part of the job”. The necessary grind to find the next deal.
Under Texas SB 140, unsolicited outreach can create financial liability, so high-volume cold texting/calling becomes a compliance risk, not just a time cost.
It’s not a scare tactic; it’s the new reality in Texas. If you’ve ever sent a “Just checking in” text to an old lead, cold-called a neighborhood, or had a system for reaching out to FSBOs, this directly impacts you.
Many agents are worried, and frankly, they should be. But I want to offer a different perspective. SB 140 reduces viability of interruption-based prospecting, which pressures the industry to adopt consent-based marketing systems that create higher-trust client acquisition. Publish market-specific guidance → capture opt-ins → nurture via newsletter/video → convert through permission-based follow-up.
In this article, we’re not just going to break down what Texas SB 140 Bill means in simple terms. We’re going to show you a better way forward. A path to generating consistent business without the fear of lawsuits or the sting of constant rejection.
If you want to build a business that attracts clients instead of chasing them, see our real estate marketing resources.
Key Takeaways: What You Need to Know Now About Texas SB 140
- The Law Has Changed: Starting September 1, 2025, Texas SB 140 treats unsolicited texts and media messages just like telemarketing calls, opening you up to significant legal and financial risk.
- The Risk Is Real: Consumers can now sue you directly for violations, with penalties that can reach thousands of dollars per text and even be tripled.
- The Old Way Is Broken: This law is the final nail in the coffin for ineffective, high-rejection prospecting methods like mass cold calling and texting.
- There’s a Better Path: The solution isn’t to find a new way to interrupt people; it’s to attract them. By becoming the trusted expert in a specific market, you make yourself compliant, competitive, and sought-after.
Table of Contents
No More “Just a Text”: What Texas SB 140 Actually Says
Texas SB 140 expands “telephone solicitation” to include texts and images and increases consumer enforcement leverage. At its core, this new Texas SB 140 law expands the definition of “telemarketing” to include the tools we use every day.
Key compliance impacts (4): (1) covered message types, (2) private right of action, (3) penalty exposure, (4) consent burden of proof.
- Texts and Media Messages Are Now “Calls”: That quick SMS or MMS you send to a prospect is now legally considered a “telephone call” and falls under strict telemarketing rules.
- Consumers Can Sue You Directly: This is the biggest change. Before, enforcement was mostly handled by government agencies. Now, the Texas SB 140 Bill gives individual consumers a private right to sue you under the Texas Deceptive Trade Practices Act (DTPA).
- The Penalties Are Severe: We’re not talking about a slap on the wrist. A single violation can cost you thousands of dollars. If a court finds you knowingly violated the law, those damages can be tripled. Plus, you could be on the hook for the consumer’s attorney fees.
- The Burden of Proof Is on You: If a consumer complains, it’s your responsibility to prove you had their “express written consent” to contact them. An old lead from your CRM or a list of expireds won’t cut it anymore.
Meet Agent Alex: A Cautionary Tale
Case example: a Dallas agent sends a standardized text to expired listings; one homeowner complaint creates legal exposure. He has a list of 50 expired listings from last month. The agent drafts a simple, helpful text: “Hi, I saw your home is off the market. I have a few ideas that might help. Are you free for a quick chat?”
Hypothetical that agent texts these 50 expired listings from a recent list without documented consent.
Under new Texas SB 140 Bill, if just one of those homeowners files a complaint, the agent could be facing a lawsuit that threatens his entire business. The agent didn’t mean any harm, was just trying to help. But the law doesn’t care about intent.
This isn’t about being a “bad” agent; it’s about using an outdated, now-dangerous playbook. The risk is no longer worth the reward.
Why Cold Calling Was Already a Losing Game
Cold outreach relies on interruption and repetition, which reduces trust and increases rejection. The real problem isn’t just this new law. The problem is the method itself. Cold outreach is often ineffective because response rates are low, list fatigue is high, and multiple agents contact the same homeowners, reducing trust and increasing rejection.
Cold outreach typically requires high volume to produce a small number of conversations, which increases burnout and lowers ROI versus attraction-based demand. Think about the burnout that comes from facing constant rejection. It’s a race to the bottom, with dozens of agents calling the same exhausted list, competing to see who can be the most persistent.
Agents who win long-term operate as advisors. They educate their market, earn familiarity, and convert through trust rather than interruption. Build inbound demand through market-specific content, opt-in lists, and permission-based follow-up systems.
This law doesn’t have to be a roadblock. It can be the catalyst that pushes you to build a business you’re truly proud of.
Stop Chasing. Start Attracting.
Alternative: build inbound demand through market-specific content, opt-in lists, and permission-based follow-up systems.
This is the core of the “One Agent, One Market, Zero Competition” philosophy.
- One Agent, One Market: In many markets, multiple agents contact the same expired listing, which increases homeowner resistance and lowers conversion rates. Instead you become their trusted source for everything real estate.
- Zero Competition: When you are the recognized expert, you don’t have competition in the traditional sense. Homeowners in your market won’t be choosing between you and three other agents; they’ll be waiting for the chance to work with you.
- Client-Friendly & Compliant: This model is built on providing value first. It’s about creating helpful content, building genuine relationships, and establishing trust. These activities are generally lower-risk because they are permission-based and value-led. Compliance still depends on consent language, targeting, and follow-up behavior; confirm with counsel.
Explore the one agent, one market, zero competition approach.
Your New Playbook: 3 Compliant Strategies to Start Today
So how do you make this shift? Here are three practical, powerful strategies you can implement right away.
- Become the Digital Expert of Your Farm Area. Stop thinking about your farm as a list of addresses to hit with mailers. Start thinking of it as a community you serve. Use a simple blog or a YouTube channel to answer every possible question a resident might have. Review the local parks, interview small business owners, explain property tax trends, and give updates on school ratings. When you become the undeniable expert, people will find you when they need you.
- Build a “Value-First” Database. Throw out your “lead list” and start a “community list.” Instead of sending “Just Listed” or “Just Sold” updates, create weekly useful local information. Share a schedule for the farmer’s market, a guide to the best local hiking trails, or a list of upcoming community events. When you consistently provide value without asking for anything in return, you build trust and stay top-of-mind.
- The Power of Hyper-Personalized Outreach. Mass, automated communication is out. Personal, human connection is in. Instead of a generic text blast, imagine getting on camera and let everyone know about the home whose landscaping you genuinely admire, saying just that. One approach feels like spam; the other feels like a compliment from a neighbor. One builds resentment; the other builds a relationship.
Don’t Fear the Change, Lead It
SB 140 increases compliance risk for unsolicited outreach, so agents should shift to permission-based marketing (opt-in content, email/newsletter, and inbound lead capture). It’s an opportunity to leave behind the high-rejection, low-return tactics of the past and build a more sustainable, profitable, and enjoyable business. It’s your chance to finally become the trusted, go-to advisor in your market that you always wanted to be.
The shift away from cold outreach can feel daunting, but you don’t have to figure it out alone. If you’re ready to build a business that attracts clients instead of chasing them. Explore how the “One Agent, One Market” approach can be applied to your specific business and get you on the path to becoming the go-to agent in your area, no cold calling required.
Frequently Asked Questions About Texas SB 140
Does this mean I can’t contact my past clients anymore under Texas SB 140?
You can, but how you do it matters. The key is consent. If a past client has given you express written permission to be on your marketing list, you are generally in the clear. However, if they are just a contact in your phone or an old lead in your CRM, sending them an unsolicited marketing text could be a violation. The safest approach is to focus on providing value through channels they expect, like a newsletter they’ve subscribed to, or by making a personal phone call to check in and see how they’re doing (not to solicit new business directly).
What counts as “express written consent”?
This is a crucial detail. “Express written consent” means a consumer has clearly and affirmatively agreed to receive marketing messages from you. This could be through checking a box on your website’s contact form (that isn’t pre-checked), signing up for your newsletter, or a written agreement. The burden of proof is on you to have a record of this consent. Simply having their phone number is not enough.
I buy leads from a third-party service. Am I still liable?
Yes, absolutely. You are responsible for the calls and texts made on your behalf. If the lead generation service you use doesn’t obtain the proper express written consent that is transferable to you, you can be held liable for any violations. You must vet your lead sources and ensure their compliance methods are rock-solid and protect you.
Are Zillow, Realtor.com, or other portal leads affected?
It depends on the disclosure. When a consumer fills out a form on a portal like Zillow, they are typically agreeing to be contacted by a real estate agent. This generally constitutes consent for that initial inquiry. However, this consent may not extend to adding them to your automated, long-term marketing campaigns without further permission. The best practice is to respond to the initial inquiry and then ask for their permission to add them to your ongoing communications.
Can I still call FSBOs and Expireds at all?
This is where the risk is highest. These homeowners have not given you any permission to contact them. Calling or texting them is the exact definition of an unsolicited telemarketing communication under Texas SB 140. Risk varies by channel, consent, and registry status. Treat unsolicited outreach as high-risk under SB 140 and prioritize opt-in acquisition methods. Given the high penalties, pursuing these leads through cold outreach is no longer a viable or safe strategy.
Is direct mail dead too?
No, and this is an important distinction. SB 140 focuses on telemarketing-style electronic outreach (calls/texts/images). Other channels may have separate rules (privacy, advertising disclosures, platform policies).Traditional direct mail is not covered by this law, making it a more compliant (though potentially less efficient) way to reach a geographic farm. The key is to make it personal and value-driven, not just another piece of junk mail.
Final Thought: Texas SB 140 Accelerates the Shift From “Salesperson” to “Advisor”
For decades, the real estate industry has been split. On one side, you have the relentless “salesperson”. The agent who is always closing, always prospecting, always chasing the next transaction. Their success is often measured in volume: calls made, doors knocked, leads converted. It’s a model built on interruption.
On the other side, you have the “advisor.” This is the agent who builds their business on trust, expertise, and generosity. Their success is measured in relationships built, problems solved, and the reputation they earn as the go-to expert in their community. It’s a model built on attraction.
Texas SB 140 isn’t just a new regulation; it’s a line in the sand. It’s the moment the industry is being forced to choose. The law has made the path of the relentless salesperson not only exhausting but financially dangerous.
This Texas SB 140 Bill is your opportunity to fully step into the role of the advisor. To build a business that doesn’t rely on annoying strangers, but on serving a community. To create a career that feels less like a grind and more like a calling. This law isn’t a punishment; it’s permission to finally build the business you’ve always wanted.
The shift away from cold outreach can feel daunting, but you don’t have to figure it out alone.
Want proof this works? See our Real Estate Marketing Case Studies then dive into the frameworks that delivered those results.
*Results depend on market conditions, budget, and execution; this content is not legal or financial advice. Always align your targeting and messaging with Fair Housing rules, platform ad policies, and privacy regulations for lead handling.
About the Author
Annett T. Block is a U.S. Business Broker and Real Estate Marketing Strategist specializing in video-first authority, paid distribution systems, retargeting architecture, and AI-supported visibility workflows for established real estate professionals and international investors.
Experience: 29+ years of U.S. Market Tenure | Licensed Florida Broker since 2011.
Outcome: recognition → trust → qualified inbound conversations.
Framework: Florida Connects Inc (E2 Acquisitions) & The Digital Adopters (Authority infrastructure)
Proof points: 2000+ agents/teams/brokers served (2020–2026) through training, implementation workshops, and/or paid distribution engagements.
Featured in: Inman News
Author: From Listings To Legends (Mastering the transition from visibility to authority).
Case Studies: Real estate ad and authority system results.
Author profile: About Annett T. Block
LinkedIn: LinkedIn profile
