BOI Reporting Requirements for Real Estate
As of 2024, most real estate LLCs, corporations, and trusts need to file a Beneficial Ownership Information (BOI) Report with the federal government. Since many real estate businesses have complex ownership structures, you may be wondering what these requirements mean for your company. We’ve created a guide to help real estate business owners navigate the BOI Report.
Do Real Estate Companies File the BOI Report?
Yes. If you’ve registered an LLC, corporation, or other type of business entity in the US, most likely you will need to file the BOI Report with the Financial Crimes Enforcement Network (FinCEN). However, there are some exemptions to the BOI Report, including (but not limited to):
- Pooled investment vehicles
- Tax-exempt entities
- Large operating companies
If your real estate entity falls into one of those categories, it may be exempt from filing the BOI Report. However, it’s a good idea to consult an attorney to ensure you’re compliant with the law.
What Information Do Real Estate Businesses Report?
If your company is required to file a BOI Report, you’ll need to include information about all beneficial owners of the business, the company applicant, and the reporting company itself. (Business entities formed before 2024 don’t need to include company applicant information.) Here’s the information you’ll need:
Company information:
- Legal name
- Any DBAs/trade names
- Business address
- State or jurisdiction where you formed your business
- Unique identifying number
Information for each beneficial owner and company applicant:
- Full legal name
- Residential/business address (no PO boxes allowed)
- Date of birth
- Identifying number and photocopy of a legal identification document (like a passport or state ID)
Note: Once you file your BOI Report, the information will be available to government agencies, state, local, and Tribal law enforcement, and financial institutions (for client identity verification only, with the client’s consent). The information will not be accessible to the general public and won’t be subject to Freedom of Information Act requests.
Who is considered a beneficial owner for a real estate company?
A beneficial owner is anyone who has at least 25% ownership interest or who otherwise has significant control over the business, such as a senior officer. The legal definition of “beneficial owner” is intentionally vague, to account for businesses with unconventional management structures—like many real estate companies. If you’re not sure who in your company counts as a beneficial owner, it’s a good idea to get help from an attorney.
Who is the company applicant for my real estate business?
The company applicant is the person who filed your formation paperwork (such as Articles of Incorporation or LLC Articles of Organization). Companies formed before 2024 don’t need to include information about their company applicant on the BOI Report.
How to File the BOI Report for Real Estate Businesses
Real estate businesses, like other reporting companies, must file the BOI Report online. You can submit the information digitally using FinCEN’s E-filing system or upload a PDF. There is no filing fee.
If you want to skip the paperwork, consider hiring Northwest. We’ll file your BOI Report for you quickly and accurately so you can get back to business.
Do real estate companies need to update the BOI Report?
Yes. Any time the information required in your BOI Report changes, you’ll need to file an updated report. For example, if your rental company secures new substantial investors who are now making decisions about properties to buy, you’ll need to update your BOI Report. You’ll file each updated report in the same way, through FinCEN’s E-Filing System.
When does my real estate business have to file the BOI Report?
For companies registered before January 2024, you will need to file your BOI Report between January 1, 2024 and January 1, 2025. Businesses formed in 2024 have 90 days to file their BOI Report after their formation date. Any changes to beneficial ownership information must be reported within 30 days of the change.
Let Northwest Help
Northwest Registered Agent has been offering some of the best business formation, compliance filing, and registered agent services for more than two decades. Now we also provide speedy, no hassles BOI Report service.
