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Real Estate and the Anti-Money Laundering Act in Switzerland: What the New Regulations (Really) Change for Your Transactions

Real Estate and AMLA in Switzerland: What the New Regulations (Really) Mean for Your Transactions

Since 1 October 2026, the Swiss real estate sector has entered a new phase. Professionals involved in property transactions — agents, brokers and advisers — are now subject to the Anti-Money Laundering Act (AMLA).

Behind this legal terminology lies a major change designed to increase market transparency. Contrary to common assumptions, however, the law does not apply to every sale in the same way.

Here is a clear, jargon-free explanation of what this reform means for your future property plans.


1. Targeted Regulation: The CHF 5 Million Rule

One of the law’s key features is its focus on high-value transactions and specific financing arrangements.

  • Transactions below CHF 5 million: If the sale is financed and settled through a bank established in Switzerland, the transaction is exempt from direct AMLA procedures handled by the broker, as the bank already carries out all legally required checks. Standard residential sales therefore remain straightforward and smooth.

  • Transactions of CHF 5 million or more: The real estate agent must comply with AMLA due diligence requirements.

  • Alternative financing arrangements (without a Swiss bank): Regardless of the amount, if payment is made without going through a Swiss financial institution subject to AMLA — for example, through direct payment or complex international arrangements — the agent must carry out the full verification process.


2. What Actually Changes When AMLA Applies?

For properties valued at CHF 5 million or more, or transactions involving specific arrangements, the real estate intermediary is legally required to collect several items at the outset of the business relationship:

  • Identification of the parties (KYC): A valid official identity document must be presented before signing the agency agreement or reservation agreement.

  • Identification of the ultimate beneficial owner (UBO): If the buyer or seller acts through an entity such as a company (SA or Sàrl), trust or foundation, the agent must identify the individual who ultimately controls it.

  • Source of funds: Clear documentation of the financing arrangements and the origin of the funds.

  • Secure record retention: The agency must retain all supporting documents in strict confidence for at least 10 years.


3. Greater Security for the Market and Clients

Although this requires some additional supporting documents for high-value sales, the process offers tangible benefits:

  1. Greater legal certainty: Sellers and buyers can be confident that they are dealing with fully verified counterparties, avoiding any risk of the transaction being held up at the notary’s office.

  2. Faster banking procedures: Applications properly prepared by a compliant broker are processed more quickly by lenders.

  3. Protection of property assets: The Swiss real estate market maintains its international reputation for rigorous standards, stability and transparency.


How Can You Approach Your Property Plans with Confidence?

By preparing these documents early, when putting together your sales file or property search brief, the process remains transparent and free of surprises. A qualified professional incorporates these steps seamlessly to ensure a smooth, secure transaction.

Do you have questions about structuring a property transaction or putting a property on the market in Switzerland? Contact our team for tailored support.