Yes, they can—but in most cases, any delays are avoidable.
As Australia’s Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) requirements become part of the property buying process, many buyers are asking the same question:
“Will these new checks delay my purchase?”
The answer is they can, but for most buyers, the process is straightforward if you’re prepared.
After almost 30 years helping Canberra buyers and sellers navigate property transactions, I’ve found that most delays don’t happen because of the rules themselves—they happen because important information isn’t available when it’s needed.
Why Do AML Checks Sometimes Cause Delays?
AML verification is designed to confirm who you are and where the money for your property purchase has come from.
If everything is clear and the requested documents are available, the process is usually completed without any significant interruption.
Delays are more likely when:
- requested documents aren’t supplied promptly
- information is incomplete
- documents don’t match the buyer’s details
- funds have come from several different sources
- overseas funds require additional verification.
The sooner these issues are addressed, the smoother your purchase is likely to be.
At What Stage Do AML Checks Happen?
The exact timing may vary depending on the agency and the circumstances of your purchase.
In many cases, identification and verification are completed early in the buying process so there are no surprises once you’ve found a property.
Leaving everything until the contract is ready to be signed can place unnecessary pressure on everyone involved.
What Documents Might Slow Things Down?
Most buyers already have the documents they’ll need.
The delay usually comes from having to find them at the last minute.
Depending on your circumstances, you may be asked to provide:
- identification
- recent bank statements
- evidence of where your deposit came from
- documents relating to the sale of another property
- gift documentation if family members are assisting
- trust or company documents where applicable.
If you’ve already gathered these documents, there’s often very little to worry about.
What If My Deposit Comes From More Than One Source?
This is becoming increasingly common.
Perhaps you’ve saved part of the deposit yourself, received assistance from family and sold investments to make up the balance.
There’s nothing unusual about that.
It simply means there may be a little more documentation required to explain where the funds originated.
Providing that information early can help avoid unnecessary delays later.
Does Having Home Loan Approval Mean I’m Finished?
Not necessarily.
Many buyers assume that once the bank has approved their loan, all financial checks have been completed.
In reality, your lender’s assessment and AML verification are different processes with different purposes.
Loan approval focuses on your ability to repay the loan.
AML verification focuses on confirming your identity and understanding the source of the funds being used in the transaction.
How Can I Avoid Delays?
The simplest advice I can give is this:
Prepare your documents before you need them.
If you know you’ll be buying property in the near future, gathering your paperwork early can make the entire process much less stressful.
Being organised also allows your agent to identify any questions before they become urgent.
Don’t Panic If You’re Asked Questions
Many buyers tell me they feel uncomfortable when asked about their finances.
That’s completely understandable.
But these questions aren’t being asked because anyone suspects you’ve done something wrong.
They’re simply part of the legal obligations that now apply to property transactions.
Our role is to guide you through the process, explain what’s required and help keep your purchase moving forward.
Final Thoughts
For most buyers, AML verification becomes just another step in purchasing a property.
Like finance approval or signing contracts, it’s simply part of the process.
The buyers who experience the smoothest transactions are usually the ones who prepare early, respond promptly and ask questions whenever they’re unsure.
If you’re thinking about buying property and would like to understand what information may be required, speak with your real estate agent before you begin your property search. A little preparation now can save unnecessary stress later.
