PROPERTY COMPLIANCE UPDATE
New AML Laws Are Coming to Real Estate: What Buyers and Sellers Need to Know
From 1 July 2026, Australian real estate transactions will involve additional identity and verification checks under expanded anti-money laundering legislation.
For most buyers and sellers, the process should remain straightforward — but preparation will matter.
The new AML/CTF reforms are designed to make property transactions more transparent and reduce the risk of real estate being used for financial crime. Real estate professionals will be required to complete customer due diligence before providing certain services from 1 July 2026.
Start Date
1 July
2026
Who It Affects
Buyers & Sellers
Plus industry professionals
Main Change
More ID Checks
Earlier in the process
Purpose
Transparency
Safer transactions
Australia is expanding its Anti-Money Laundering and Counter-Terrorism Financing regime to include real estate professionals, along with other industries such as lawyers, conveyancers, accountants and certain property developers. These changes are often referred to as the “Tranche 2” reforms.
The aim is to reduce the risk of criminals using property transactions to hide or move illicit funds. For genuine buyers and sellers, the key difference will usually be additional verification steps, similar to the identity checks already common in banking and finance.
Key Takeaway
The changes are not designed to make buying or selling harder — they are designed to make property transactions more transparent.
Timeline
What happens and when?
Now
Agencies, conveyancers and related property professionals are preparing systems, policies and processes for the new requirements.
Before a transaction
Buyers and sellers may be asked to provide identification and, in some circumstances, supporting information about ownership or funds.
From 1 July 2026
Real estate professionals providing designated services must comply with AML/CTF obligations, including customer due diligence requirements.
For Sellers
Expect identity checks before your property is listed or sold.
Sellers may be asked to verify who they are, confirm ownership details, and provide relevant documentation before an agency can proceed with certain services.
You may need:
Photo ID, proof of address, ownership details, company or trust documents where relevant.
For Buyers
Be prepared to confirm identity and source of funds.
Buyers may be asked for additional information, especially where a transaction involves complex structures, companies, trusts, overseas funds or higher-risk indicators.
You may need:
Photo ID, proof of address, finance details, source-of-funds information, company or trust documents where relevant.
Documents
What might you be asked to provide?
Identification
Driver licence, passport or other accepted ID.
Proof of Address
Documents confirming your current residential address.
Ownership Details
Property ownership, company or trust information where relevant.
Source of Funds
Information about funds used for the purchase, where required.
From a Central Coast market perspective, these changes are unlikely to alter the fundamentals that drive buyer demand or property values. Lifestyle appeal, location, infrastructure and local supply will continue to influence market performance.
Be prepared, not concerned.
For most people, the best approach will be simple: have your identification ready, respond to documentation requests early, and work with an agency that can guide you clearly through the process.
What this means in practice
Buying and selling property will still be familiar. The main difference is that verification checks may happen earlier and may require more supporting information than some clients are used to providing.
Good advice makes new requirements easier to navigate.
If you are planning to buy or sell and want to understand what these changes could mean for your transaction, our team can talk you through the process clearly.
Speak With Our Team Disclaimer: The information contained in this article is general in nature and is provided for informational purposes only. It does not constitute legal, financial, taxation, compliance or investment advice. AML/CTF obligations may vary depending on the transaction, client circumstances and future regulatory guidance. Readers should seek independent professional advice relevant to their circumstances before making decisions relating to property transactions.