On November 13, 2024, FinCEN issued a notice and request for comments on the proposed information collection associated with the requirement to report information about certain residential real estate transfers, as required by the Anti-Money Laundering Regulations for Residential Real Estate Transfers final rule published on August 29, 2024. Comments will be accepted until January 13, 2025.
The Residential Real Estate Rule (RRE Rule) requires certain persons involved in real estate closings and settlements to submit reports to FinCEN and keep records on certain non-financed transfers of residential real property to specified legal entities and trusts on a nationwide basis. The reports are expected to curtail the ability of illicit actors to launder illicit proceeds anonymously through transfers of residential real property, which threatens U.S. economic and national security.
FinCEN conducted certain supplemental analyses, particularly those relating to the Real Estate Report (RER), including both the proposed data fields of the RER and the mechanism by which a RER would be submitted to FinCEN. The proposed RER has 111 fields, with FinCEN expecting about 60% to be completed for each transfer, though more fields may be required for complex transfers involving multiple beneficial owners or sources of funds.
Comments are sought on the necessity, accuracy, and burden of the information collection, ways to improve its quality and clarity, methods to reduce respondent burden (including through technology), and estimates of related costs.
The Notice can be found here.