From 1 July 2026, significant changes are coming to the Australian real estate industry with the introduction of new Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) obligations.
While many Australians are familiar with identity verification requirements in banking and finance, these laws will now extend to real estate agencies across the country.
At TOWN, we believe informed clients make more confident decisions. As these changes approach, our focus is ensuring clients feel educated, supported and guided through the process with clarity and confidence.
What is AML/CTF?
AML/CTF stands for Anti-Money Laundering and Counter-Terrorism Financing.
The legislation is designed to help prevent:
- Money laundering
- Fraud and financial crime
- Terrorism financing
- The misuse of Australian property transactions for illegal activity
For many years, industries such as banking, finance and law have operated under these obligations. From 1 July 2026, real estate agencies will also be required to comply as part of broader national reforms designed to strengthen transparency and accountability across high-value industries.
Why is real estate being included?
Property transactions often involve significant sums of money and complex ownership structures, making the sector vulnerable to misuse by criminal organisations.
The new legislation is intended to improve transparency around who is involved in property transactions and where ownership and control structures originate.
Importantly, these obligations apply industry-wide and are not unique to TOWN or any individual agency.
What will change for buyers and sellers?
Under the new legislation, real estate agencies will be required to complete identity verification and client due diligence checks before providing certain services.
Depending on the transaction and ownership structure, clients may be asked to provide:
- Identification documents
- Confirmation of residential address
- Information relating to companies or trusts
- Details regarding beneficial ownership or control structures
For most clients, the process will be relatively straightforward and similar to verification procedures already experienced with banks or lenders.
Will this apply to existing clients too?
Yes. Even if you have previously bought or sold through TOWN, the legislation still requires agencies to complete AML/CTF checks for all clients from 1 July 2026 onward.
In many cases, this may simply involve confirming or updating information already held on file.
How TOWN is preparing
At TOWN, we have been proactively preparing for these changes well ahead of the legislation commencing.
This includes implementing secure compliance systems, training our team and developing streamlined processes designed to make the experience as seamless as possible for clients.
Behind the scenes, Office Manager Melissa Joan is leading TOWN’s AML/CTF implementation to help ensure the process remains smooth, secure and easy for both clients and agents navigating the new requirements.
Our goal is not simply compliance. It is maintaining the first-class client experience TOWN is known for while adapting to an evolving regulatory landscape.
What clients can expect from TOWN
We understand that providing additional information within a property transaction may initially feel unfamiliar.
Our approach is centred around:
- Clear communication
- Secure handling of information
- Efficient digital verification
- Minimal disruption to the transaction process
- Ongoing guidance and support throughout the process
Verification requests will typically be completed digitally through a secure AML compliance platform, with our team available to assist clients every step of the way.
Is personal information secure?
Privacy and data security remain incredibly important.
Verification information is securely managed through specialist AML compliance systems designed specifically for the Australian real estate industry and handled in accordance with applicable privacy laws.
The information collected can only be used for AML/CTF compliance purposes.
A new standard across Australian real estate
The introduction of AML/CTF obligations marks one of the most significant regulatory changes the Australian real estate industry has seen in many years.
At TOWN, we are committed to making that transition as smooth, professional and client-focused as possible. Regulatory requirements evolve, but exceptional client experience remains at the centre of everything we do.
If you have any questions about the upcoming AML/CTF requirements, our team is always here to help.
