It's only a ANPRM. I am surprised as I thought that FinCEN would have brought in hedge funds first, but this is interesting as well.

https://www.fincen.gov/news/news-re...eal-estate-sector-reporting-requirements

Will this affect banks?

It does not appear to in this form,

I am really not sure how a bank gets involved in a cash purchase of real property. Plus the banks already fall under SAR reporting rules for suspicious activity.

SAR requirements connect banks to these proposed rules for real estate activities. Bankers who keep themselves aware of what other industries have to do for their BSA/AML/CFT requirements will be more attuned to activities that, if seen by a banker, should be reported. For example, if a bank discovers that a large number of its cashier's checks in moderate amounts have been negotiated at the same time and the indorsements suggest they were involved in a real estate transaction involving a huge sum (such as a couple of million dollars), the bank might well wonder why so many small cashier's checks, purchased over several weeks with several different payees appear to have been negotiated in a single real estate deal of such a size. That could trigger a SAR filing.

Bankers should also watch the development of these rules because banks are involved in real estate transactions from time to time, and they should want to be aware of any regulatory requirement affecting the real estate sector that might affect banks in some way.