On September 1, a new Texas law prohibiting homeowners’ associations (HOA) from banning renters from using housing vouchers. Many, including The Dallas Morning News, are calling this a “moral stand” against racism. It is nothing of the sort. In fact, it is an immoral attack on property rights.
An HOA typically enforces deed restrictions within a neighborhood. Deed restrictions are voluntary and contractual agreements between property owners to limit how they use their property. Deed restrictions are an application of property rights.
The right to property means the freedom to produce, trade, and use material values as one chooses. This includes the freedom to voluntarily limit how one uses his property. The new Texas law interferes with the freedom to use one’s property as one chooses.
Defenders of the law argue that because most housing voucher users are black, an HOA ban on vouchers is a veiled form of racism. Undoubtedly, some who support such bans are racist, but there are valid and rational reasons for not allowing vouchers. I stand as an example.
As a landlord, I refuse to accept housing vouchers. As I have previously written, the voucher program imposes numerous and costly demands upon landlords. I don’t care to spend the time and money to meet those demands. Nor do I want to deal with the hassles of a government bureaucracy. My decision has nothing to do with racism. Indeed, the vast majority of my tenants have been black or Hispanic.
The fact that a policy disproportionately impacts a particular group of people says nothing about the motivation of those enacting the policy. My decision to refuse to accept vouchers disproportionately impacts blacks. But it is based on sound business principles, not a dislike of “people of color.” Forcing me, or any property owners, to accept housing vouchers is an immoral attack on property rights.