Are you ready for the AML reforms? What real estate agents need to know

The Australian real estate industry is on the brink of major regulatory change. With long-anticipated reforms to the Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) regime now in motion, real estate agents will soon be front and centre in the fight against financial crime. Most changes are expected to be adopted during 2026 and Openn is actively working on behalf of our Agents to ensure the changes don’t disrupt their business.

Why Is This Happening?

Australia has long been criticised by international bodies like the Financial Action Task Force (FATF) for leaving real estate transactions outside the AML/CTF net. Criminal organisations have taken advantage of this regulatory blind spot—using property to launder illicit funds through anonymous cash purchases, shell companies, and foreign buyers.

Now, the Federal Government is acting. A draft bill, expected in 2024 and set to be introduced in 2025, proposes to bring real estate professionals within the scope of the AML/CTF Act—joining financial institutions, lawyers, and accountants already subject to these obligations. Requirement similar to these have been long established in other Australian and New Zealand sectors and the

What Will Agents Be Required to Do?

If the reforms proceed as outlined, real estate agents will need to:

  • Conduct customer due diligence (CDD): This includes verifying the identity of buyers and sellers, understanding ownership structures (particularly with corporate and offshore clients), and monitoring transactions for suspicious activity.
  • Report suspicious matters: Agents will be required to lodge Suspicious Matter Reports (SMRs) with AUSTRAC when they detect red flags—such as unexplained wealth, complex trust structures, or attempts to avoid scrutiny.
  • Keep detailed records: Transaction documents, CDD procedures, and risk assessments must be securely stored and available for inspection.
  • Implement AML/CTF compliance programs: Agencies will need formal policies, risk-based procedures, and staff training in place—similar to what financial institutions already follow.

How Will This Impact the Industry?

For some agencies, this will mean a steep compliance curve. Others, particularly those handling high-value or international clients, may already be informally applying elements of due diligence. But make no mistake—the proposed changes will introduce legal obligations and penalties for non-compliance.

Agents should not wait for the legislation to pass. Early preparation will reduce the risk of disruption when the law takes effect. This means reviewing your current customer onboarding processes, training your team, and exploring technology that simplifies compliance.

Technology Can Be a Powerful Ally

Platforms like Openn—which digitise and record the sales process—can help real estate businesses adapt more smoothly to these changes. Transparent bidding, secure data trails, and identity verification features can all reduce AML risk and bolster compliance readiness.

What’s Next?

The government has confirmed a two-phase rollout of the reforms, starting with “Tranche 2” professions, including real estate agents, lawyers, and accountants. Draft legislation and stakeholder consultations are already underway.

While exact implementation dates and thresholds are still being finalised, the direction is clear: greater transparency and accountability are coming to Australian real estate. Stay ahead of the change. At Openn, we’re committed to helping agents embrace technology that simplifies all aspects of real while building trust with buyers and sellers.

We recognise that these changes may feel daunting—but technology is part of the solution, not the problem. We’re actively developing and enhancing features within our platform that align with new AML/CTF obligations. This includes secure identity verification tools, auditable transaction trails, and digital record-keeping that integrates seamlessly into agent workflows.

In the coming months, Openn will be rolling out further resources, training, and platform upgrades to support compliance efforts across the industry. Our goal is to make it easy for agents to meet regulatory requirements while maintaining the speed, transparency, and efficiency buyers and sellers expect.

For more details on what Openn can do for your business, please contact Cale Walsh on 0412998727 or direclty book a demo below
Back to News