Fifth Circuit: there is no protected property right in leasing your home short-term
Fifth Circuit: there is no protected property right in leasing your home short-term
2026-09-15 · Mississippi · Courts
The federal appeals court that governs Mississippi has held there is no constitutionally protected property interest in leasing a home on a short-term basis, and that drawing the line at 30 days is not arbitrary. Marfil v. City of New Braunfels, No. 25-50025, was decided June 18, 2026 and is published and binding in the Fifth Circuit, which covers Mississippi, Louisiana and Texas.1
The case
New Braunfels, Texas adopted a zoning ordinance — chapter 144 § 5.16, enacted in 2006 and amended in 2011 — barring short-term rentals, defined as occupancy “for less than 30 consecutive days,” in districts zoned Residential. Property owners sued on due process and equal protection grounds. Every plaintiff had bought after the ban was already on the books.
The panel was Higginson, Willett and Engelhardt, with Higginson writing. Summary judgment for the City was affirmed.
The two holdings
Due process. The owners' theory required Texas law to recognise a protected property interest in “the right to lease one's home on a short-term basis.” The court held Texas courts have squarely held it does not — so there is no property interest for due process to attach to.
Equal protection. Applying rational-basis review, the court held that preserving the residential character of neighbourhoods is a legitimate government interest, and that the line between rentals under 30 days and longer ones is not arbitrary.
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