02/2/26

Talk about a different kind of March Madness. Stricter reporting standards for title companies, known as FinCEN from the U.S. Treasury, will officially take effect on March 1.

We’ve addressed these changes before, but our teams wanted to bring up the topic again since the implementation date is approaching.

Why are these changes happening?

The new rules are designed to deter bad actors from using residential real estate transactions as targets for money laundering by increasing the information required from buyers involved in some all-cash transactions.

Who do these new rules affect the most?

The short answer is us, and we’re not saying that flippantly. The professional handling the closing will need to collect more identifying information during any sale the new rules deem more at risk, so we’re asking customers not to be surprised – or concerned – if it seems like we’re asking for more information than usual.

What should customers expect?

It’s hard to say whether a sale will be subject to these rules in advance, so we don’t want to make any blanket statements. However, if your transaction is all cash and is being purchased by an LLC or other type of entity or trust, there’s a good chance more information and paperwork will be needed to comply with these new rules. We don’t want you – or your clients – to be surprised.

One last note: Even though money laundering often involves high-dollar amounts, any transaction, regardless of the amount, can be subject to the new FinCEN regulations. Have any other questions? Contact your local branch, and we’ll work through them together.