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With the July 1 commencement date fast approaching, the nation’s strict compliance framework will extend to property professionals for the very first time.
Historically, a high-value vehicle for financial crime, Ray White Agency Compliance Manager Shaun Doyle said real estate transactions were a well-documented target for laundering illegally obtained funds from drug trafficking, fraud, and corruption.
“The complexity of property deals, often involving hidden corporate structures, overseas funds, or undisclosed trusts, has made it an attractive pathway for dirty money,” Mr Doyle said.
“From 1 July 2026, that gap will close permanently.
“Any real estate agency not enrolled with the regulator, AUSTRAC, and that does not have an active, compliant AML/CTF program will be legally barred from listing, selling, or settling property.”
The financial stakes for falling short are massive, with non-compliance fines reaching up to $33 million for corporations and $6.6 million for individuals per breach.
Ray White, Australia’s largest real estate network, has spent the past year proactively preparing its offices for the transition.
Rather than viewing the incoming regulations as a hurdle, the group is embracing them as a defining feature of the industry’s top operators.
“Australia is one of the last countries to fully implement these reforms,” Mr Doyle said.
“This is such an important topic, and we are proud to be at the forefront. We want to be known as the absolute leaders in the industry and set the standard."
The new laws require agents to act as an active line of defense by establishing clear identity trails at the point of listing, assessing risk profiles, and reporting suspicious transaction behaviors directly into AUSTRAC’s intelligence database.
"One in four property transactions are being paid for in cash and mortgage-free, which is a statistic the authorities are very interested in," Mr Doyle said.
“These are enforceable legal obligations, not optional guidelines.
“Highly compliant agents and offices are typically the highest-performing. Success leaves clues.”
For the vast majority of legitimate property buyers and sellers, the day-to-day impact of Tranche 2 will be negligible.
“The process mirrors the standard identity and background verifications Australians are already accustomed to when opening a bank account or applying for a mortgage,” Mr Doyle said.
“The transaction process is expected to remain fast and fluid for clients who provide their identity documents and corporate entity structures upfront.
“Delays will only occur if crucial documentation is withheld or undisclosed early in the piece.”
To mitigate this, Ray White has already deployed specialized resources and training to help its agents guide clients through these conversations smoothly before a property ever hits the market.
"Most legitimate clients won't find the changes too impactful when handled correctly," Mr Doyle said.
“The AML reforms don't mean interrogating buyers at open homes or treating every client as suspicious.
“It is simply about awareness, observation, and fulfilling our collective responsibility to ensure we can be proud of every single transaction.”
