Common patterns
- Purchases funded by cash or by unexplained third parties.
- Buyers hidden behind companies and trusts with no clear beneficial owner.
- Prices well above or below market with no explanation, and rapid resales.
- Overseas funds routed through several accounts before settlement.
- Renovations paid in cash to move money into the asset.
What an agent is expected to do
Not to investigate, but to identify the client, understand the purpose, notice what does not fit and report a suspicion within 3 business days. The Act asks for reasonable suspicion, not proof.
Why it protects you
An agency with dated identification records and an audit trail can show it did what the law asks. An agency with nothing cannot, whatever it actually did.
Questions people ask
- Is it my job to check where the money came from?
- For higher-risk clients, yes: enhanced due diligence includes source of funds. For everyone else, understand the purpose and notice what does not fit.
This guide is general information for real estate agents, buyers agents, property managers, not legal advice. Check AUSTRAC's current guidance for your situation.