The Financial Crimes Enforcement Network, FinCEN for short, has delayed the enforcement date of its residential real estate reporting rule.
The announcement exempts “all reporting persons” from compliance with the anti-money laundering regulation from Sept. 30 until March 1, 2026. The rule was supposed to go into effect on Dec. 1.
This rule was
Fidelity National Financial, which through its multiple underwriting units, is the nation’s largest producer of title insurance,
In support, the American Land Title Association
“FinCEN’s decision to postpone its reporting requirements shows recognition of the valid concerns raised by ALTA members and Congress about implementation,” Chris Morton, the group’s CEO, said in a statement.
In the brief, ALTA said that its members, both direct producers and agents, would have to file more than half of the between 800,000 and 850,000 reports FinCEN expects.
“There are serious concerns about the immense financial and compliance burdens of this rule on the small businesses that comprise 90% of the title insurance industry,” Morton continued. “This delay gives ALTA more time to work with FinCEN to revise this costly rule that places significant burdens on title companies.”
FinCEN is part of the Treasury Department and the announcement came out on the latter’s letterhead.
“Consistent with the Administration’s policies focused on reducing any unnecessary regulatory burden on Americans, the Secretary [Scott Bessent], through FinCEN, has determined that exemptive relief from the requirements of the Residential Real Estate Rule is appropriate until March 1, 2026, to allow industry sufficient time to institute the policies, procedures and processes necessary to comply,” the order states.
In an indication that the rule might not go away, FinCEN also published the real estate report form. The PDF indicates it is “for reference purposes only,” with a Dec. 1 release date.
