What the New Anti-Money Laundering (AML/CTF) Reforms Mean for You When Buying or Selling Property

Picture your next property settlement. You’re ready to sign, the deposit’s sorted, and then your conveyancer asks to verify your identity and asks a few questions about where your funds are coming from. If that feels new, that’s because it soon will be. From 1 July 2026, The Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (AML/CTF reforms) brings conveyancing into Australia’s anti-money laundering and counter-terrorism financing system for the first time.

The change sounds technical, but for you it’s simple. You’ll be asked for a bit more information than you might be used to, and that’s it. This article explains what’s changing, why conveyancers are now included, and what to have ready, so the extra steps feel routine rather than intrusive. It’s general information rather than legal advice, so we’ll point you to the right places for your specific situation.

What the AML/CTF reforms actually are

AML stands for anti-money laundering, and CTF stands for counter-terrorism financing. These laws exist to stop criminals from laundering dirty money through legitimate parts of the economy, and property has long been a key gap.

For years, banks and financial institutions have had to verify who their customers are and report suspicious activity. The new reforms extend those same obligations to a wider group of professionals, including lawyers, accountants and conveyancers. Property is being brought in because large transactions are an obvious target for laundering illicit funds.

The national regulator behind all this is AUSTRAC, and you can read the official overview on the AUSTRAC reforms page. The short version is that handling property transactions now comes with a responsibility to check identities and keep an eye out for anything that doesn’t add up.

The key dates you should know

The reforms roll out in stages, so it helps to know the timeline.

The headline date is 1 July 2026. From that day, conveyancers and other newly included professions must comply with their anti-money laundering obligations when they provide certain property services.

Before that, enrolment for the industry opens on 31 March 2026, which is when affected businesses register with AUSTRAC and get their systems in place. By the time you settle on or after 1 July 2026, your conveyancer will already have these checks built into how they work.

What this means in practice is that the change is gradual on the industry side, but for you, it simply becomes part of every transaction from the middle of 2026 onwards. There’s nothing you need to do ahead of time beyond knowing it’s coming.

What you’ll actually be asked for

This is the part most people care about, and the good news is it’s straightforward. The obligations centre on something called customer due diligence, which is the formal name for confirming who you are and understanding the transaction.

In practice, you can expect a few things.

• Identity verification, usually using documents like your driver licence or passport, so your conveyancer can confirm you are who you say you are
• A few questions about the transaction itself, such as the purpose of the purchase or sale
• Some background on the source of your funds, particularly for large deposits or where money is coming from overseas

None of this is about suspicion. Everyone goes through the same process, the same way a bank verifies you when you open an account. If your identity and funds are in order, which for the vast majority of buyers and sellers they are, it’s a quick and painless step.

The customer due diligence side does mean a little more paperwork up front. Having your identification ready early, as we cover in our guide to buying property in Victoria, keeps the whole thing moving smoothly.

Why this protects everyone

It’s natural to feel a little wary the first time someone asks for extra detail about your money. It helps to remember what the checks are for.

Money laundering through property pushes up prices, distorts the market, and lets serious crime hide in plain sight. By bringing conveyancing into the same system that already covers banks, the reforms close a door that’s been open for too long. That’s good for honest buyers and sellers, because a cleaner market is a fairer one.

There’s reassurance in the consistency too. These obligations now apply right across the property industry, so whoever you deal with, the standard is the same. You’re not being singled out, and you’re not being treated as a risk. You’re simply part of a process that now protects the whole system.

How Sea Change Conveyancing handles it for you

The reforms are new, but the way good conveyancing should feel isn’t. At Sea Change, our job is to take something that sounds complicated and make it simple, and the anti-money laundering steps are no different.

We’ll let you know exactly what we need and when, so nothing comes as a surprise at settlement. Identity verification is handled securely, your information is protected, and you’ll always have a real person to talk to if you have a question. You speak directly with the licensed conveyancer managing your file, not a call centre, whether you’re buying or selling across Victoria.

Because we service clients remotely, the verification process is built to be easy from wherever you are. The aim is the same as it’s always been: you understand each step, you know what’s happening, and settlement day feels calm.

The bottom line

The AML/CTF reforms are one of the bigger changes to hit property in years, but for buyers and sellers, the practical impact is small. From 1 July 2026, expect to verify your identity and answer a few extra questions about your transaction and funds. It’s quick, it’s standard, and it’s the same for everyone.

Knowing it’s coming is half the battle. Have your identification handy, expect the questions, and lean on a conveyancer who guides you through it. If you’ve got a property move planned around the middle of 2026 and want to know how the new steps will work for you, get in touch with Sea Change, and we’ll walk you through it. For the official details on the reforms, AUSTRAC remains the best source.

FAQs

Do the AML/CTF reforms mean buying or selling will take longer?

Not in any meaningful way. The customer due diligence steps add a little paperwork up front, mainly identity verification and a few questions, but a well-organised conveyancer builds these into the normal timeline. Having your identification ready early keeps everything moving.

Why does my conveyancer need to verify my identity now?

From 1 July 2026, conveyancers are covered by Australia’s anti-money laundering rules, so conveyancer ID verification becomes a standard part of every transaction. It’s the same kind of check a bank does, and it applies to all clients equally, not just some.

What documents will I need for customer due diligence?

Usually, standard identification such as a driver licence or passport, and in some cases information about the source of your funds, particularly for large or overseas transfers. Your conveyancer will tell you exactly what’s required for your matter, so there are no surprises.

Is anti-money laundering compliance new for the property industry in Australia?

Yes. Banks and financial institutions have followed these rules for years, but the reforms extend anti-money laundering obligations to conveyancers, lawyers and accountants for the first time. The new obligations apply from 1 July 2026, with industry enrolment opening on 31 March 2026.

Is this article legal advice for my situation?

No, it’s general information to help you understand the changes. Every transaction is different, so for advice on your specific circumstances, it’s best to speak with your conveyancer and to check the official guidance on the AUSTRAC website.