FINTRAC Compliance for Canadian Realtors
FINTRAC obligations for Canadian real estate agents: client ID, record keeping and suspicious transaction reporting, and what a CRM can and cannot do.
Real estate brokers and sales representatives are reporting entities under FINTRAC’s rules. This page outlines the obligations and what a CRM can and cannot do to help you keep records.
Disclaimer: This page is for informational purposes only and does not constitute legal advice. Consult FINTRAC's official guidelines and a qualified legal advisor for compliance obligations specific to your situation.
What Is FINTRAC and Why Does It Apply to You?
FINTRAC (Financial Transactions and Reports Analysis Centre of Canada) is Canada's financial intelligence unit. Under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, real estate brokers and agents are designated Reporting Entities.
This means you have legally binding obligations every time you work with a buyer, seller, or landlord. These are not optional — FINTRAC conducts regular examinations and can impose significant penalties for non-compliance.
Realtor Desk is not a FINTRAC compliance system. It keeps timestamped notes and attached documents on each contact, which can hold identity records you collect. Your brokerage's written compliance program remains the compliance program.
Whether you're a solo agent or part of a large brokerage, FINTRAC obligations apply to you.
FINTRAC can impose administrative monetary penalties. Check its current published schedule for the amounts.
Your records may be reviewed. Having organized, accessible records is essential.
All client identification and transaction records must be retained for a minimum of five years.
Your FINTRAC obligations, and what Realtor Desk does and does not do
What Realtor Desk can and cannot do for each obligation, stated plainly. It helps you keep records; it does not run a FINTRAC workflow.
A record-keeping aid, not a compliance system
There is no FINTRAC workflow in Realtor Desk today: no structured identity fields, no reporting, no risk assessment, no verification step. What it gives you is a single place to keep timestamped notes and documents against each client. Your brokerage's written compliance program, and whoever administers it, remain responsible for the obligations above.
FINTRAC FAQ for Canadian Realtors
Keep your client records in one place
Start a 14-day free trial and keep notes and documents on every contact. Realtor Desk helps you keep records; it does not make you compliant with FINTRAC, PIPEDA or CASL.
Are Canadian realtors subject to FINTRAC?
Yes. Under Canada's Proceeds of Crime (Money Laundering) and Terrorist Financing Act, all real estate brokers and agents in Canada are Reporting Entities under FINTRAC. This means you are legally required to identify clients, keep records, and report certain transactions.
What happens if I don't comply with FINTRAC?
FINTRAC can impose administrative monetary penalties and examines real estate businesses. The amounts and the examination process are set by FINTRAC and have been changing, so read its current published policy at fintrac-canafe.canada.ca rather than a figure on a software vendor's page. Non-compliance is not a minor risk.
Does Realtor Desk replace my brokerage's compliance program?
No. Realtor Desk is a CRM. It can hold notes and documents against a contact, but your brokerage must have its own written compliance program, and the records that program requires belong where it says to keep them.
Do I need to verify client identity before or after receiving an offer?
You must verify client identity as soon as reasonably practicable after the first business relationship — which FINTRAC defines as when you agree to provide real estate services. This is typically at or before signing a buyer or seller representation agreement.
What documents do I need to keep for FINTRAC compliance?
At minimum: Client identification records (government-issued ID), receipt of funds records, business relationship records, and suspicious transaction records if applicable. Retain all records for a minimum of 5 years.
Does the FINTRAC requirement apply to rental transactions?
FINTRAC's real estate guidance is written around acting as an agent in the purchase or sale of real property. Whether a particular leasing or property-management activity is covered depends on the facts, so check FINTRAC's current guidance or ask your compliance officer.