Increase of U.S. Federal Financial Crimes Enforcement Network Reporting Requirements

Beginning on March 1, 2026, Section 1010.821 of Chapter 31 of the Code of Federal Regulations is currently scheduled require that parties in interest to real estate transactions without institutional lender financing, where at least one buyer/transferee is a legal entity or trust, must be reported to FinCEN. This will require documentation of the ultimate purchasing entity owners, and will result in a significant increase in reporting burden for closing agents. Note that this rules also captures, for example, a situation in which a person quitclaims a vacation home or residential investment property into a trust without consideration. Refer to the rule for details.