What to Know When Purchasing Property Through an LLC, Corporation, or Trust
If you are planning to purchase real estate through an LLC, corporation, or property trust, there are some important changes on the horizon that are worth understanding early in the process.
New federal reporting requirements now apply to certain real estate transactions when specific criteria are met. These typically involve residential property being purchased by an entity or trust and transactions that do not include traditional bank financing. While not every transaction is affected, those that are may require additional information to be provided prior to closing.
To help simplify this, we are sharing a quick reference worksheet designed to make it easier to determine whether a transaction may fall under these new requirements. It walks through the most common triggers and helps identify situations where additional reporting is likely. The goal is clarity upfront so there are no surprises as you approach closing.
If all three sections on the worksheet apply to your transaction, that is a strong indicator that it is time to pause and consult with your legal or tax advisor. In situations that feel like a close call, professional guidance is always the safest approach. Every ownership structure is different, and expert advice can help ensure compliance while protecting your interests.
This resource is intended as an awareness and planning tool, not a substitute for legal or tax counsel. At Range Realty Co, our priority is keeping transactions smooth, informed, and stress free by helping clients stay ahead of changes that may impact their purchase.
If you have questions or would like to talk through how this may apply to your situation, we are always here as a resource. Information provided by Metro Title.
