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FATF updated guidance for a risk-based approach for the real estate sector

26/07/2022

Criminals are often attracted to the real estate sector to launder and profit from the proceeds of their illegal activities.

However, the FATF assessments show that

  • The real estate sector often does not understand how criminals exploit the sector.

FATF has therefore updated its guidance for a risk-based approach for the real estate sector to prevent the sector's misuse for money laundering and terrorist financing.

Professionals in the real estate sector, from real estate agents to notaries, play an essential role in preventing criminals from laundering their illicit assets by purchasing high-end real estate.

The guidance will help the private sector understand these risks better and take measures to mitigate them. It also highlights the need for sufficient powers, resources and sanctions for supervisors to supervise the real estate sector and take necessary action effectively.

The guidance follows input from the private sector, including through public consultation in March and April 2022.

Download the guidance at https://bit.ly/3cw14KU  - https://www.fatf-gafi.org/media/fatf/documents/recommendations/RBA-Real-Estate-Sector.pdf

FATF