Court Strikes Down FinCEN Residential Real Estate Reporting Rule

A federal court just eliminated a significant compliance requirement for real estate transactions.

On March 19, 2026, the U.S. District Court for the Eastern District of Texas (Tyler Division) vacated FinCEN’s Residential Real Estate Reporting Rule. That rule required disclosure of all beneficial owners of trusts and legal entities purchasing residential real estate in cash transactions — deals with no bank or mortgage lender involved.

With the rule now vacated, those reporting obligations no longer apply. Transactions that would have triggered disclosure requirements can proceed without the associated FinCEN filings.

We are monitoring whether FinCEN or the Department of Justice will appeal. For now, the rule is off the books.

If you have questions about how this development affects a pending or planned transaction, contact our office at 203-366-3939 or email info@wwblaw.com.