FinCEN delays implementation of anti-money laundering rule

Title insurance firms gearing up for the implementation of the Financial Crimes Enforcement Network’s (FinCEN) Anti-Money Laundering Regulations for Residential Real Estate Transfers Rule can slow their efforts. On Tuesday, FinCEN announced that it was postponing the implementation of the policy from Dec. 1, 2025, to March 1, 2026.

The rule requires title firms to report specific details on all-cash home purchase transactions. These include the names, addresses, dates of birth, citizenship status and ID numbers of all people involved — including minors — plus payment details and information about trusts and entities that are purchasing the property. 

In a press release, FinCEN the decision was made to “reduce business burden and ensure effective regulation.” 

“FinCEN is taking this step to provide industry with more time to comply — consistent with the Administration’s agenda to reduce compliance burden — while still adequately protecting the U.S. financial system from money laundering, terrorist financing, and other serious illicit finance threats,” the release states. 

To implement the extension, FinCEN has issued a temporary order that grants exemptive relief from the reporting requirements. FinCEN noted that in the meantime, the Geographic Targeting Orders remain in effect. 

The rule is currently at the center of a lawsuit filed against FinCEN and its director Andrea Gacki, as well as the Department of the Treasury and its secretary, Scott Bessent by title insurance firm Fidelity National Financial. 

FNF filed its suit in May 2025. Most recently FNF has claimed that the implementation of the rule will cause it “irreparable harm,” and it has asked the court for a preliminary injunction delaying the enforcement of the rule. Earlier this month, the suit’s defendants, which include FinCEN, told the court in a legal filing that delaying the implementation of the rule was improper. They also argued that an injunction would disrupt FinCEN’s enforcement efforts and national security goals. 

In addition to its motion for a preliminary injunction, FNF has also filed a motion for summary judgment, a move the American Land Title Association threw its support behind by filing an amicus curiae brief. 

ALTA CEO Chris Morton expressed his pleasure at the news of the delay in an emailed statement.

“FinCEN’s decision to postpone its reporting requirements shows recognition of the valid concerns raised by ALTA members and Congress about implementation,” Morton said in a statement. “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. This delay gives ALTA more time to work with FinCEN to revise this costly rule that places significant burdens on title companies.”