New identity checks: what today's anti-money-laundering laws mean for you
From today, 1 July 2026, Australia's anti-money-laundering laws extend to real estate for the first time. Monarca Property Group has enrolled with AUSTRAC as a reporting entity and set up the checks the new rules require. If you're buying or selling with us, you may be asked to complete a short verification - this note explains what has changed, and what it means for you.
I wanted to write to you directly about this, so that when a check comes up it feels expected rather than out of the blue. It's a change that affects every agency in the country, and I'd rather you heard about it from us, plainly.
What has changed
For years, anti-money-laundering (AML) laws applied mainly to banks and financial institutions. From today they extend to a range of professions - real estate among them - under the second stage of reforms widely known as "Tranche 2."
The purpose is straightforward. These laws exist to make it harder for criminals to move or conceal illicit funds through everyday transactions. Property has long been recognised as one of those channels, for the simple reason that a single sale can move a large sum. The new rules ask firms like ours to confirm who our clients are before we act for them.
What Monarca Property Group has done
We've enrolled with AUSTRAC - the national agency responsible for these laws - as a reporting entity, and put in place the processes we need to meet our obligations.
In practice, the most visible of those obligations is customer due diligence: verifying the identity of the people we act for on a sale. Rather than improvise this, we've chosen to work with a specialist, Instant Compliance, to run the checks securely and efficiently. It means the process is handled properly, and kept as light as possible for you.
What it means for you
If we're helping you buy or sell, we'll ask you to complete a verification check. A few things worth saying plainly:
- It applies to everyone. The check is routine and runs for every client - it isn't a sign of any concern about you.
- It's quick. Most people complete it online in a few minutes, and it's usually a one-time step.
- Your information is protected. Your details are collected securely, used only to meet these legal obligations, and never sold.
For most clients, that is the whole of it.
What the check involves
If you're an individual, you'll need photo ID - a driver licence or passport - and we'll confirm your residential address, sometimes with a recent document such as a utility bill or bank statement. The check then confirms your identity and screens against the standard government and international lists.
If you're a company or trust, there are a couple of extra steps, because the law requires us to identify the people who ultimately own or control the entity. We run the same short check for each of them.
Instant Compliance have prepared two short guides that walk through it in plain language:
- Why am I being asked to complete a check? — a short explainer (PDF)
- Client questions, answered — a brief FAQ (PDF)
If you have questions
That's completely understandable — please just get in touch. We're happy to talk it through with you.
Sources: AUSTRAC, About the AML/CTF reforms and Tranche 2 reporting-entity guidance; Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (Cth), as amended by the Anti-Money Laundering and Counter-Terrorism Financing Amendment Act 2024 (Cth).
This article is general information to help explain the changes, not legal advice. If something specific to your circumstances comes up, please contact us and we'll point you in the right direction.
Property, considered.
