AUSTRAC for Buyers Agents: What You Must Do Before 1 July 2026

Why AUSTRAC now regulates buyers agents

The Anti-Money Laundering and Counter-Terrorism Financing Act 2006 was amended in 2024 to extend reporting-entity status to "Tranche 2" professions — real estate agents, conveyancers, solicitors, accountants, and property developers selling direct. Buyers agents and buyer's advocates are squarely in scope because assisting a client to plan or execute the purchase of real property is a designated service under the Act.

AUSTRAC's rationale is plain: buyers agents are often the first professional to interact with a purchaser — including overseas investors — so you sit at a natural checkpoint for detecting money laundering risk before funds reach settlement.

1. Enrol with AUSTRAC

Enrolment is the first step on the AUSTRAC journey for every buyers agent. Registration opens on 31 March 2026 via AUSTRAC Online. The enrolment deadline is 29 July 2026.

How to enrol — step by step

1. Confirm you're in scope using AUSTRAC's eligibility checker.
2. Create an AUSTRAC Online account for your buyers agency.
3. Nominate a compliance officer — for a solo buyer's advocate, this is usually you.
4. Provide business details: legal name, ABN/ACN, trading name, address, real estate licence details.
5. Describe the designated services you provide (assisting buyers with real property purchases).
6. Submit and keep the confirmation. You'll use it for onboarding, invoicing, and audit.

See our full AUSTRAC enrolment guide for a screenshot-by-screenshot walkthrough.

2. Build your AML/CTF program

Every reporting entity must have a written AML/CTF program that is tailored to the money-laundering and terrorism-financing (ML/TF) risks in their business. AUSTRAC's program guidance sets out the required elements.

What a buyers agent's AML/CTF program must cover

• An ML/TF risk assessment for your buyers agency: clients you serve, products/services offered (residential, commercial, off-market, foreign buyer), delivery channels, and geographies.
• Policies, procedures, systems and controls for each obligation — CDD, ongoing monitoring, screening, reporting.
• Governance: your nominated compliance officer, board/owner oversight, training obligations.
• Independent review requirements on a reasonable cycle.
• Tipping-off safeguards and employee due diligence where relevant.

A solo buyer's advocate's program doesn't have to be 100 pages — it must be proportionate to your risk and operations. AUSTRAC has also released program starter kits for the real estate sector.

3. Customer due diligence

CDD is the cornerstone of AUSTRAC compliance for buyers agents. You must verify the identity of every client and assess their ML/TF risk before you provide the designated service — that is, before you start searching for property on their behalf. AUSTRAC's full guidance is in the CDD core guidance.

Minimum CDD elements

• Full legal name, date of birth, and residential address for individuals.
• Verification from reliable and independent sources (biometric IDV, or primary photo ID plus a secondary document).
• For company clients: ACN/ABN, directors, and beneficial owners (25%+ ownership or control).
• For trusts (including SMSFs): trust deed, trustee(s), settlor, appointor, and classes of beneficiaries.
• A documented ML/TF risk rating and ongoing monitoring plan.

Enhanced CDD (ECDD)

Higher-risk clients — foreign buyers, PEPs, clients with cross-border funds, or unusual transaction patterns — require Enhanced CDD. That adds source-of-funds, source-of-wealth, and purpose-of-transaction evidence, plus senior-management approval to proceed. Foreign PEPs are automatically high risk under the AML/CTF Rules.

Delayed CDD for auctions and exchanges

The AML/CTF Rules provide delayed CDD timeframes for certain real estate designated services — for example, where a contract is entered at an auction or an exchange happens before CDD can be completed. The delayed period lets you keep trading, but CDD must still be finalised within the allowed window. Confirm the current timeframes in AUSTRAC guidance before you rely on them.

4. Sanctions & PEP screening

Every client must be screened against the DFAT Consolidated List (Australia's sanctions list) and reputable Politically Exposed Persons (PEP) databases. Screening is not a one-off — re-screen when:

• The DFAT list is updated (it changes regularly).
• A client's circumstances materially change.
• Ongoing monitoring triggers escalation.

A positive match must be reviewed before you continue to act for the client. Dealing with a sanctioned person without an exemption is a separate, serious offence under the Autonomous Sanctions Act 2011.

5. Suspicious matter reporting

AUSTRAC's SMR guidance explains triggers, content, and lodgement. Common SMR scenarios for buyers agents include: evasive source-of-funds answers, pressure to close quickly with cash-like payments, structuring across multiple accounts, purchases significantly above market value without reasonable explanation, or undisclosed third-party control.

6. Record keeping

The AML/CTF Act requires reporting entities to keep records for 7 years — including:

• Every CDD pack: documents collected, verification method, risk rating.
• Sanctions and PEP screening results.
• Your AML/CTF program, risk assessment and any independent reviews.
• SMR drafts, supporting material, and correspondence with AUSTRAC.
• Training records for everyone performing AML duties.

Records must be accessible, readable, and auditable on request. A tamper-proof digital audit trail is the easiest way to meet this standard — and it's a default capability of modern AML software for buyers agents.

Key AUSTRAC dates for buyers agents

What to do next

1. Check your scope on the AUSTRAC eligibility page.
2. Start your AML/CTF program. If you're using AMLTranche, the platform generates a tailored program and risk assessment from a short questionnaire. Otherwise, use the AUSTRAC starter kit.
3. Design your CDD workflow. Decide how you'll capture and verify ID before you start searching.
4. Pick your tools. See our AML software for buyers agents page for what to look for in a compliant platform.
5. Train your team. Document the training. Keep the records.

Disclaimer: This article provides general information about AUSTRAC Tranche 2 obligations for buyers agents sourced from publicly available AUSTRAC guidance and the AML/CTF Act 2006. It does not constitute legal advice. Confirm your specific obligations with AUSTRAC or a qualified legal adviser.