Does the title company need my SSN to close???

Question

I will be closing on a house within the upcoming days. The title company asked me for my SSN,which raised a red flag. Why do i need to provide my SSN if I am buying the house cash. It dosent make sense. I am domiciled in East Baton Rouge Parish in the state of Louisiana.

Joe Splitrock · Answer

There is generally two reasons. First for IRS reporting of transactions, the need your SSN so they can file form 1099-S. Secondly for compliance with Foreign Investments in Real Property Tax Act (FIRPTA). Essentially to see if you are citizen.

Is there some reason you are not just providing this?

Wayne Brooks · Answer

As the seller they have to have it...as the buyer, no.

Cody L. · Answer

Yeah we 1099 people but only because I have to. Not happy to have to do it. I feel like the IRS has me working as their unpaid tax collector.

Brad L. · Answer

Register of Deeds requires Buyer's SSN (and obviously Seller's) when recording the Deed in my municipality. Title company handles recording, so SSNs have to be provided to title company here.

Jay Hinrichs · Answer

cASh buyer i have never given it.. or can remember being asked  seller for sure .. ssn  or EIN

Cody L. · Answer

Lots of government boot lockers. There is a difference between “have to” supply and “SHOULD have to” supply.

No. The government shouldn’t be in so much of our damn business. I track every penny in and out and pay appropriate taxes. So it drives me nuts when I have to give my social to some organization that’s paying tenant rent. Or even my social to get a property tax refund or money out of the court registry.

Wayne Brooks · Answer

@Chris Mason Agreed....but most of my purchases have been without a loan and I only Recall  having to supply a SS# when selling.....but many of those were QCD’s executed at my attorney’s office, not traditional “closings”.

Chris Mason · Answer

If you're the buyer, they can/will just read your SSN off of lender docs, assuming there is a loan involved.

Timothy Winfield · Answer

@Russell Brazil I bought the property cash from the owner. No financing i didn’t need to provide my SSN. My lawyer got both parties to sign the cash sale and recorded it with the clerk of court and assessors office. I dont think that particular title company i was trying to use knew what they were doing, or maybe it was just a mis-understanding. Either way i ran for the hills and still got the deal done.

Timothy Winfield · Answer

@Russell Brazil you are right and i will do so. Thanks for all your help.

Does the title company need my SSN to close???

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