| Occasionally I am asked about the enforcement of Geographic Targeting Orders (GTOs) and who is affected by its regulation. I thought you would find this information helpful. |
| What is GTO and Who is Affected? On May 14, 2019, the Financial Crimes Enforcement Network (FinCEN) announced the renewal of its Geographic Targeting Orders (GTOs) which centers on all-cash or hard money and private loan purchases of residential real estate through a legal corporate entity, such as a corporation, limited liability company, or partnership in King County. Title companies are required to collect information about he owners that purchase real estate through these legal entiti. Under the GTOs, the reports are required for any all-cash, private party lender, or hard money loan purchases in King County by a legal entity when the purchase price equals or exceeds $300,000. This information has assisted FinCEN track any illicit funds, organized crime, foreign corruption, and any illicit actions taken by criminals. The continued efforts to track these transactions will continue to protect the real estate market, and most importantly, its consumers. The renewal of the GTOs has been extended to November 11, 2019. |
If you do have any questions, I would love to hear from you.
Warm Regards,
Sandy