FinCEN Real Estate Reporting
A quick heads-up on a new federal rule (Starting March 1, 2026):
Starting March 1, 2026, settlement agents (the closing/title side of the transaction, including companies like Broker’s Title) are federally required to file a report for certain residential real estate transfers with the U.S. Treasury’s Financial Crimes Enforcement Network (FinCEN).
This is a new anti-money laundering requirement under federal law. It’s not optional for the settlement agent, and it is not a public record.
Why you’re hearing about this
Most buyers and sellers won’t notice any change.
But if a purchase involves an LLC or a trust (or another type of entity) and there’s no traditional bank mortgage, the closing company may be required to collect additional information and file what’s called a Real Estate Report with FinCEN.
The biggest risk to your timeline isn’t the report itself — it’s delays caused when the required information isn’t provided quickly.
When is a FinCEN report typically required?
We expect reporting when all of the following are true:
The property is residential
The buyer is an entity (LLC, corporation, partnership, or trust)
There is no traditional bank mortgage
Transactions that often fall into this category include:
Cash purchases
Private financing
Hard money loans
Seller financing
If you’re buying personally (in your own name) with a traditional bank mortgage, this usually won’t apply. What information might you be asked to provide?
If the report is required, the closing company may request identifying information so they can comply with federal law. The exact request can vary depending on how you’re buying.
If the buyer is an entity (LLC, corporation, partnership) You may be asked for:
Legal name, address, and jurisdiction (where the entity was formed)
EIN
Names of individuals with 25% ownership
Names of individuals with substantial control (decision-makers)
If another company owns part of the entity, information to identify the real people behind it
If the buyer is a trust You may be asked for:
Trust name
Date the trust was executed
Whether the trust is revocable or irrevocable
All trustees
Grantor (the person who can revoke or withdraw assets)
Beneficiaries who can demand or withdraw substantially all assets
If a trustee is a company, information to identify the real people behind it
For each person listed above You may be asked for:
Legal name
Date of birth
Home address
Taxpayer ID (SSN or TIN)
Government ID image (buyer only)
How funds are being delivered (wire, check, etc.)
Source account information (bank name and account number)
Seller side - In some cases, sellers may also be asked for basic identifying information, including taxpayer ID.
What this means for you (the practical part)
If you’re buying with an LLC or trust and you’re not using a traditional bank mortgage, plan for a few extra compliance steps.
Respond quickly to requests from the settlement agent/title company to avoid closing delays.
If privacy is a major goal, don’t rely on assumptions or promises — talk with your attorney about the best way to structure your purchase.
Common Questions
Will this make closings take longer?
Not necessarily. If the requested information is provided promptly, the transaction can still move quickly. Delays typically happen only when required information is not submitted in a timely manner.
Do all beneficiaries of a trust need to be reported with their SSN?
Yes.
Bottom line
This is a new federal reporting requirement starting March 1, 2026. It won’t affect every transaction — but for certain residential purchases (especially LLC/trust buyers without a traditional bank mortgage), you may be asked for additional information so the settlement agent can comply with the law.
If you have questions about how you’re planning to purchase, ask early. I’m happy to help you understand whether this is likely to come up in your transaction so we can keep your closing on track.