What Is Actually Changing?
From 1 July 2026, real estate agents in Australia will be required to comply with expanded Anti-Money Laundering and Counter-Terrorism Financing obligations. These laws bring property transactions into line with the financial services sector, which has operated under similar requirements for years.
The four core obligations for agents are: verify the identity of buyers and sellers, conduct risk assessments for each transaction, monitor for suspicious activity, and keep detailed records for at least seven years.
Will You Need 100 Points of ID?
The term "100 points" is not the official standard, but the practical outcome is similar. Most sellers and buyers will need a driver's licence combined with one secondary document. Acceptable secondary documents include a passport, Medicare card, or a recent utility bill.
In most cases this will be done digitally. Rather than presenting physical documents at an office, the process typically involves a quick ID verification via your phone. The system captures the relevant information securely and stores it against the transaction record.
When Will ID Be Required?
The timing differs depending on your role in the transaction.
Sellers will have their identity verified when signing the agency agreement. This happens at the start of the process, before the property is listed.
Buyers will be verified after an offer is accepted and before contracts are exchanged. There is no requirement to verify every person who attends an open home.
When Additional Checks May Apply
Standard verification covers the majority of transactions. Enhanced checks apply in specific circumstances:
- Foreign buyers
- Properties being purchased through a trust or company structure
- Politically exposed persons
- Transactions involving complex financing arrangements
In these cases the agent may request proof of ownership structures or documentation of the source of funds. This is consistent with how banks and financial institutions already handle these situations.
Will This Slow Down Sales?
With systems in place, ID checks add minutes, not days. The digital platforms used for verification are integrated into agency workflows so that verification runs in parallel with other pre-contract steps rather than creating a separate queue.
Agents who are unprepared or relying on manual processes may experience delays. That is an operational issue for those businesses, not an inherent feature of the law.
Why These Changes Are Being Made
Property has historically been identified as a channel for money laundering because high-value transactions can obscure the source and movement of funds. These reforms bring Australia into alignment with international standards set by the Financial Action Task Force, the global body that sets anti-money laundering policy.
The practical benefits for legitimate buyers and sellers are increased transparency, reduced fraud risk, and greater confidence that all parties in a transaction are who they say they are. Most people going through a standard sale or purchase will find the process straightforward.
What I Am Doing to Prepare
I am integrating secure digital ID verification systems into my process ahead of the July commencement date. My aim is to complete verification early in each transaction so it is not a last-minute obstacle. If you have questions about how this affects your upcoming sale or purchase, contact me directly.
