Media Mention
Smith & Buckley’s Article on FinCEN Real Estate Rule Published by Reuters
Published: Sep 11, 2025
A new nationwide anti-money laundering rule introduces mandatory reporting to the U.S. Department of Treasury’s FinCEN (Financial Crimes Enforcement Network) for specific all-cash residential real estate transactions involving legal entities and trusts. This regulation, known as the “Anti-Money Laundering Regulations for Residential Real Estate Transfers,” will go into effect on Dec. 1, 2025.
Importantly, the rule does not apply to transfers made directly to individuals; it is triggered only when the transferee is a legal entity (such as a corporation, LLC, partnership, or estate) or a trust. All-cash and non-bank financed transactions are the primary focus of the new rule as they present higher risks for money laundering.
The new rule directly impacts a range of real estate professionals and businesses involved in closings and settlements, including settlement agents, title insurance companies and agents, escrow agents, attorneys involved in closings, and other professionals performing specified functions in the transfer process.
Smith and Buckley discusses how real estate professionals involved in closings must identify the reporting party, collect detailed beneficial ownership information, and file reports within 30–60 days, while updating processes and training staff to ensure compliance.
April Smith serves as the At Adams & Reese Real Estate Team Leader, and she is a Partner in the Mobile, Alabama office. For 20 years, April has represented TIMOs, REITs, financial institutions, businesses, and individuals in a wide range of transactions, including timberland and commercial property acquisitions and sales, timberland and commercial financing, mergers and acquisitions, and business sales.
Sean Buckley is a member of the Adams & Reese Corporate Services Practice Group and a Partner in the Houston office. Sean advises clients on a wide array of corporate matters, including the purchase and sale of equity and assets, and in a diverse array of industries, including real estate transactions, entity selection and formation, corporate governance, and franchise opportunity matters.
