Australians buying or selling property are being warned their next transaction could look very different, with sweeping new financial crime prevention rules coming into effect from 1 July.
For the first time, consumers will be required to provide more detailed identification and financial information as part of the buying and selling process, including evidence of where their money comes from.
The reforms will require an estimated 80,000 legal, financial and real estate firms nationwide to verify client identities, assess the source of funds, and flag suspicious activity in property transactions.
Australia’s property market is a known target for money laundering and is considered one of the most attractive real estate markets globally. AUSTRAC estimates criminals linked to China laundered around $1 billion through Australian real estate in 2020 alone.
Chief Operating Officer at InfoTrack, Lee Bailie said the changes represent a generational shift in how property transactions are conducted.
“From 1 July, every Australian buying or selling a home will need to demonstrate who they are and where their money comes from. That is not a minor administrative change. It is the most significant reform to how property transactions are conducted in a generation, and it brings Australian real estate into line with the financial oversight that already applies to banks, accountants and financial planners,” Mr Bailie said.
“In the short term, buyers and sellers can expect to provide more documentation than they are used to. The longer-term benefit is a property market with greater integrity, where home prices are driven by genuine demand, not illicit money,” he said.
Mr Bailie said while the changes ultimately benefit consumers, there is a risk of disruption if practitioners are not ready.
“Practitioners are in the final stretch. Having a program on paper is not the same as having it operational. If a firm is not ready on 1 July and a client’s settlement is affected, that is a direct consumer harm. Readiness at this point is not optional,” he said.
To support industry readiness, InfoTrack is bringing together professionals from across the property ecosystem ahead of the deadline.
“The professionals handling property transactions on behalf of consumers need more than a policy document before 1 July. They need to understand how the obligations connect across every profession involved in a transaction. That is why we are bringing all four sectors together in one forum, with AUSTRAC in the room, to make sure every practitioner leaves with a clear picture of what ‘ready’ actually looks like,” Mr Bailie said.
The Industry Collective Speaks virtual forum will be held on 18 June 2026.
