Tranche 2, in plain English
Make sense of what's changing and keep deals moving
By July 2026 Real estate enters AML/CTF regulation, better known as Tranche 2. Here's exactly what you need to know and do.
Tranche-2 Timeline
The path to AML/CTF compliance unfolds in clear phases from now until July 2026. Understanding these key dates helps you prepare effectively and avoid last-minute stress.
Follow these milestones from guidance → enrolment → go-live.
Start early so July 2026 feels routine, not disruptive.
Draft guidance & industry consultation
AUSTRAC consults on core guidance; sectors begin planning.
Final AML/CTF Rules & core guidance published
Rules released; plain-English 'how to comply' material follows.
Real-estate & conveyancer sector guidance
Sector-specific examples and implementation details finalised.
Enrolment opens (AUSTRAC)
Newly regulated entities can enrol as reporting entities.
Obligations commence (Tranche-2)
Start KYC/VOI, monitoring, reporting and 7-year records.
What Do Tranche 2 AML/CTF Reforms Mean for Australian Businesses?
"Tranche 2" extends Australia's anti-money laundering laws to real estate, law firms, accounting, and other professional services from July 1, 2026.
What this means for your business:
- Verify clients – Check IDs and understand who you're dealing with
- Monitor transactions – Watch for suspicious activity and report it
- Keep records – Maintain compliance files for 7 years
Simply put: the same anti-money laundering rules banks follow now apply to property professionals. The goal is stopping criminals from using your services to clean dirty money.
Who Will Need to Comply with the Tranche 2 AML/CTF Regulations?
If you work in these industries, Tranche 2 applies to you:
Real Estate
Agents, buyers' agents, property developers
Legal
Lawyers, conveyancers, settlement agents
Accounting
Accountants, bookkeepers, tax agents
Other
Jewelry dealers, company service providers
Bottom line: If you handle property sales, settlements, or manage client funds, you're likely in scope. The real estate industry is the main focus due to high transaction values.
When Will the Tranche 2 AML/CTF Reforms Take Effect?
July 1, 2026
Your compliance obligations begin
You have 19 months to prepare from when the law passed (November 29, 2024). Here's what happens when:
Start preparing now so you're ready well before the deadline.
Why Is Australia Implementing Tranche 2 AML/CTF Reforms?
Three main reasons driving these changes:
🔍 Closing Loopholes
Criminals have been exploiting unregulated sectors like real estate to launder money. These reforms close those gaps.
🌏 International Standards
Australia needs to meet global benchmarks. Most developed countries (like the UK) have regulated these sectors for years.
💰 Economic Protection
Money laundering costs Australia $60 billion annually. These laws help protect legitimate businesses and the economy.
For you: This isn't about making your job harder—it's about protecting your business from being unknowingly used by criminals.
What Will Tranche 2 Compliance Require from Real Estate Agencies?
Your new compliance duties—same as banks, but simpler:
1. Enroll
Register with AUSTRAC by July 2026
2. Program
Create a simple compliance manual
3. Verify
Check client IDs and understand who you're dealing with
4. Report
Flag suspicious activity and large cash transactions
5. Store
Keep records for 7 years
6. Train Staff
Train your agents and property managers on AML procedures and red flags
Reality check: This sounds complex, but with the right tools (like AML Assured), these become simple 2-minute tasks that fit into your existing workflow.
How Can Businesses Prepare for the Tranche 2 AML/CTF Reforms?
Your 6-step action plan to be ready by July 2026:
Check if you're affected
Real estate, law, accounting? You're probably in scope.
Stay informed
Subscribe to AUSTRAC updates and attend free webinars.
Educate your team
Learn AML basics and red flags for your industry.
Draft your program
Create a simple compliance manual (AUSTRAC will provide templates).
Get the right tools
ID verification, record keeping, reporting systems.
Enroll by March 2026
Register with AUSTRAC when enrollment opens.
The smart move: Start now, take it step by step, and by July 2026 compliance will feel like second nature. With AML Assured handling the heavy lifting, you can focus on what you do best—closing deals.
Now you know what's coming. We'll handle the rest.
Simple tools, expert support, zero stress.
AU-based support • Easy Onboarding • AUSTRAC-aligned • End-to-end Solution