AML/CTF record keeping requirements for real estate agencies — AML Simple

Record keeping is one of the most practical parts of AML/CTF compliance — and one of the most commonly misunderstood. It's not about storing everything forever. It's about keeping specific records, in a retrievable form, for a defined period. AUSTRAC can request them. The obligation has teeth.

Here's what real estate agencies need to keep, for how long, and the fastest way to build a system that makes compliance straightforward.

The fast path

If you're using AML Simple, record keeping is handled automatically throughout the platform.

Sign up — around 2 minutes. ABN auto-fills your registered details from the ABR.
AML/CTF Program Generator (/program/generate) — around 15 minutes. Your generated program document includes a record-keeping policy section, with retention periods and document categories pre-populated to match AUSTRAC's requirements.
CDD and transaction records — when you complete a customer due diligence check in AML Simple, the identity documents, verification results, and timestamps are stored automatically with a 7-year retention flag. No manual filing system required.

The obligation to retain records is yours. The system handles the storage and retrieval so you don't need a separate filing protocol.

What does the law actually require?

Under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (AML/CTF Act), reporting entities — which includes real estate agencies from 1 July 2026 — must retain records that:

Allow AUSTRAC to determine whether the agency is meeting its obligations
Enable reconstruction of any transaction or customer relationship if required
Are accessible and readable for the full retention period

The AML/CTF Rules specify the categories of records in detail. For real estate agencies, the key categories are:

Category 1: Customer identification and CDD records

For every client on whose behalf you act in a covered transaction, you must retain:

The identity information you collected (name, date of birth, residential address)
The documents or data sources you used to verify that information
The date on which verification was completed
For beneficial ownership checks: information about the beneficial owners and how it was established

Retention period: 7 years from the date the customer relationship ends (or from the date the record was created, if there is no ongoing relationship).

This is the category most agencies are still building toward. The practical challenge: you need a system that captures verification information at the point of the transaction, not weeks later from memory.

For a complete picture of what CDD involves for each transaction type, the complete guide to your AML/CTF program covers each component in detail, including how CDD requirements vary by client type and transaction structure.

Category 2: Transaction records

For covered transactions — which includes buying and selling real property, as well as leasing above the threshold where applicable — retain:

The nature and value of the transaction
The date the transaction was conducted
The parties to the transaction (including third parties acting on behalf of a buyer or seller)
The method of transaction

Retention period: 7 years from the date of the transaction.

Category 3: Suspicious Matter Reports and Threshold Transaction Reports

If you lodge an SMR or TTR with AUSTRAC, retain a copy of the report and supporting documentation.

Retention period: 7 years from the date the report was lodged.

Category 4: AML/CTF program and related documents

Your written AML/CTF program document, and records of:

Risk assessments (current and superseded versions)
Staff training completion records
Independent review findings and responses

Retention period: 7 years from the date the document was created or the version was replaced.

For a detailed checklist of what your written program must contain, see what to include in your AML/CTF program.

Format and accessibility requirements

The AML/CTF Act doesn't mandate paper records — electronic records are acceptable, provided they:

Can be reproduced in a readable format if AUSTRAC requests them
Are protected against unauthorised access, alteration, or destruction
Are retained for the full 7-year period even if your business changes software systems

That last point is worth flagging. If you store CDD records in a practice management system and then change software, you need to ensure records are exported and retained — not left behind in a deprecated system.

What happens if records can't be produced?

Failure to maintain or produce records is a civil penalty provision under the AML/CTF Act. AUSTRAC can issue infringement notices and refer persistent failures to the Federal Court.

For small agencies, the more common issue is not deliberate non-compliance — it's the absence of a system. Records were never collected in a retrievable format, or were stored inconsistently across staff members' email inboxes and paper files.

The independent review of your AML/CTF program will typically include a record-keeping check as one of its core components — so if your records are incomplete, that's where it surfaces.

Practical approach for small agencies

For a residential real estate agency with 1–15 staff:

Centralise record storage — one system, not per-agent folders. Everyone's CDD records in the same place.
Capture records at the time of verification — not after the contract is signed. Identity verification done via AML Simple generates a timestamped record automatically.
Document your retention policy — write it into your AML/CTF program. "We retain all CDD and transaction records for 7 years from the date of the relevant transaction or the end of the customer relationship, whichever is later."
Test retrieval — can you actually find a client's CDD record from 18 months ago? Run that test before July 2026, not after an AUSTRAC request.

Summary

The 7-year retention requirement applies to CDD records, transaction records, reports lodged with AUSTRAC, and your program document and training records. The obligation starts from 1 July 2026.

The fastest path: build your program with AML Simple. Record keeping is built into the platform — CDD records are timestamped and stored automatically, and your program document includes a compliant retention policy from day one.

For a complete guide to the CDD process that generates the records you need to retain, read Customer due diligence for real estate agencies: a complete guide.

This content is general information only and does not constitute legal or AML/CTF advice. Regulatory requirements may change. For advice specific to your agency's situation, consult a qualified AML compliance professional.