INDUSTRY UPDATE: New AML and CTF Rules For Real Estate
From 1 July 2026, real estate agencies that broker the sale, purchase or transfer of property are regulated by AUSTRAC under the AML/CTF Act.
What Clients Need To Do
1. Provide accurate identification documents (e.g. driver licence, passport) when asked.
2. Complete the onboarding form and answer questions about the purpose of the transaction.
3. Disclose beneficial owners for companies, trusts or other structures they act for.
4. Answer follow-up questions honestly if Megaward needs extra information (enhanced due diligence).
5. Understand that Megaward may decline or delay a transaction until checks are complete.
What Agents Need To Do
1. Collect and verify customer ID and onboarding forms before or during the transaction.
2. Ask about the source of funds for high-value or unusual transactions.
3. Watch for red flags — e.g. reluctance to provide ID, unusual cash requests, third parties paying for someone else.
4. Escalate anything unusual or high-risk to the AML/CTF Compliance Officer promptly.
5. Keep records of all customer due diligence for at least 7 years.
Complete AML/CTF training when required.
What the Compliance Officer Needs To Do
1. Act as the central point of contact for all AML/CTF matters at Megaward.
2. Review escalations from agents and decide on enhanced due diligence or declining a customer.
3. Approve high-risk customers case-by-case.
4. Lodge Suspicious Matter Reports (SMRs) and threshold transaction reports with AUSTRAC.
5. Maintain and update the Risk Assessment, Policy and Process documents.
6. Oversee staff training and keep records of AML/CTF compliance activities.
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