Real estate in the Czech Republic AML requirements for realtors

Nikita Veremeev

19.08.2025 | 6 min read

Updated: 19.08.2025

In 2024, the Czech real estate market hit a record: according to the European Banking Authority, over 16% of major real estate transactions in the EU were identified as high-risk in terms of money laundering – and Czech Republic ranked in the top 5 countries for suspicious operations in the sector.

This is not just statistics, it is a signal for everyone involved in real estate services in the Czech Republic: the risks of tighter controls and sanctions have already become a reality. Why do even honest agencies face account blockages, regulatory audits, and reputational losses? How have AML requirements in Czech Republic changed for realtors in 2024–2025, and what should be done to avoid being among the violators?

Today, the real estate market in Czech Republic is not just about investments and transactions, but also an area of increased attention from regulators. The Czech law on anti-money laundering (Act No. 253/2008 Sb.), EU AML directives, new FAÚ requirements, all form a new reality for realtors, agencies, and investors.

If you want to not just survive but scale your business, ensure transparency, and earn partners’ trust, this article is your practical guide.

I will share how the COREDO team has implemented dozens of successful projects on AML system implementation, registration of contact persons, and FAÚ audit preparation, and what solutions work effectively in 2025.

AML Requirements in Czech Republic 2024–2025

Illustration to the section “AML Requirements in Czech Republic 2024–2025” in the article “Real Estate in Czech Republic – AML Requirements for Realtors”

AML requirements in Czech Republic 2024–2025 are significantly tightening and covering more companies and entrepreneurs operating in the country. The introduction of new rules and updates to local legislation are closely aligned with international AML standards, which requires careful study of the key law 253/2008 Sb. and compliance with new regulations in the coming years.

Act 253/2008 Sb. and International AML Standards

The Czech anti-money laundering law (No. 253/2008 Sb.) is the foundation defining how realtors and real estate agencies should act.

The law integrates EU AML directives (including the 6th Directive) and FATF standards, ensuring compliance with international requirements and allowing Czech Republic to remain an attractive jurisdiction for foreign investors.

In COREDO’s practice, we regularly face the need to consider requirements for client identification, source of funds analysis, and monitoring transactions with FATF high-risk jurisdictions.

In 2024–2025, key changes affected the expansion of the list of obligated entities, tightening controls over commercial real estate transactions, and introducing new criteria for assessing beneficial owners. Realtors are now obliged to conduct comprehensive client checks and ensure constant financial monitoring in Czech Republic at all stages of the transaction.

Moreover, from February 1, 2025, all AML-obligated entities must appoint and register a contact person with the FAÚ, which has become a mandatory step for realtors and real estate agencies.

Registration of AML Contact Person for Realtors

From 2024, changes came into effect requiring every real estate agency to appoint and register an AML contact person.

The electronic registration of an AML contact person is done through the datová schránka system using the Czech Ministry of Finance form.

The solution developed by COREDO for our clients allows for the automation of data submission and updates, minimizing the risk of missing AML contact person notification deadlines in Czech Republic.

AML obligations extended for realtors in Czech Republic: they now include not only client identification but also regular data updates, internal control implementation, and mandatory reporting of suspicious operations. COREDO’s practice confirms: only a systematic compliance approach can avoid fines and reputational losses.

The Role of FAÚ and National Financial Regulators

The Financial Analytical Office of Czech Republic (FAÚ) is the key body responsible for financial monitoring and AML compliance enforcement. FAÚ works closely with the Czech National Bank, conducts regulatory audits, and analyzes suspicious operations.

Our experience at COREDO has shown that FAÚ audit preparation requires not only compliance with internal AML procedures but also the ability to quickly provide documents proving transaction transparency and source of funds.

Realtors’ AML Obligations in Czech Republic

Illustration to the section “Realtors' AML Obligations in Czech Republic” in the article “Real Estate in Czech Republic – AML Requirements for Realtors”

Realtors’ AML obligations in Czech Republic include mandatory control to prevent money laundering and terrorist financing, requiring thorough client checks and risk assessments.

Special attention is paid to KYC procedures since they help identify beneficiaries, establish the origin of funds, and meet the tightening legal requirements.

KYC: How to Check a Client and Assess Risks

KYC (Know Your Customer) – is not just a formality but the foundation of a real estate agency’s internal policy. Comprehensive client check by a realtor in Czech Republic includes identity verification, source of funds analysis, politically exposed person (PEP) status check, and risk assessment related to FATF high-risk jurisdictions.

The COREDO team implements automated solutions for clients, enabling the integration of KYC procedures with internal CRM systems to minimize the human factor.

Special attention is devoted to transactions with foreign investors: here, it is important not only to verify documents but also to assess ownership structure, identify the ultimate beneficial owner, and ensure absence of ties to sanction lists.

Beneficiary Check: How to Identify the Owner

In 2025, criteria for determining the beneficial owner in Czech Republic have tightened: realtors are now required to document ownership chain, including offshore structures and trusts.

COREDO’s practice showed that ignoring this requirement leads to transaction blocking and additional checks by FAÚ.

To minimize risks, we recommend using international databases and conducting independent verification of ownership information.

Internal Control and AML Automation

Implementing internal AML control for realtors in Czech Republic involves not just developing regulations, but also integrating automated AML systems to ensure information security and compliance with international standards.

Solutions implemented by COREDO allow real estate agencies to reduce operational costs, improve control quality over suspicious operations, quickly respond to legislative changes, and regulatory requirements.

Registration of AML Contact Person in Czech Republic

Illustration to the section “Registration of AML Contact Person in Czech Republic” in the article “Real Estate in Czech Republic – AML Requirements for Realtors”

Registration of the AML contact person in Czech Republic is a mandatory procedure for companies subject to local anti-money laundering laws.

Below, we will detail how registration through datová schránka is carried out and what steps are necessary.

Registration through datová schránka: Step by Step

Electronic registration of the AML contact person is a mandatory step for all real estate agencies. The procedure includes:

Filling out the Czech Ministry of Finance form on the official portal.
Submitting the application through the electronic datová schránka system.
Receiving confirmation of the AML contact person’s registration.

Deadlines for AML contact person notification in Czech Republic are strictly regulated: no later than 10 working days after appointment. The solution developed by COREDO automates this process and allows tracking notification status in real-time.

Change of Contact Person Details

In the event of changes to the AML contact person’s details in Czech Republic, updated information must be submitted via datová schránka within 5 working days. Cessation of AML entity activities also requires timely regulator notification.

Our experience has shown: automating data updates minimizes the risk of administrative liability.

Liability for Late Notification and Errors

Liability for late notification is one of the common reasons for fines. Sanctions for non-compliance with AML can amount to hundreds of thousands of euros, and repeated violations lead to agency operation suspension.

Typical errors include late data updates, absence of supporting documents, and a formal approach to form filling. COREDO’s practice confirms: only a clear system of internal control can avoid these risks.

Suspicious Real Estate Transactions in Czech Republic

Illustration to the section “Suspicious Real Estate Transactions in Czech Republic” in the article “Real Estate in Czech Republic – AML Requirements for Realtors”

Suspicious real estate transactions in Czech Republic are becoming an increasingly pressing issue amid rising fraudulent schemes and new ways to deceive buyers and tenants.

Understanding the signs of such transactions helps to recognize the risk in time and avoid unpleasant consequences.

Signs of Suspicious Operations and Their Examples

Suspicious real estate transactions in Czech Republic are operations that do not conform to regular practice, involve complex financing schemes, PEP participation, FATF high-risk jurisdictions, and unclear source of funds. For example, purchasing real estate for an amount significantly exceeding the client’s official income or using complex offshore structures for payment.

The COREDO team provides client training on suspicious operation analysis, enabling timely detection and prevention of income legalization attempts.

Report to FAÚ: Procedure and Timing

A report on suspicious real estate transactions is submitted to FAÚ before the transaction is completed. Important: delay in providing information can be considered a violation of AML requirements.

The form is completed electronically, and the report is stored within the agency’s internal control system. The solution implemented by COREDO allows integrating the notification process with internal procedures to ensure transparency for regulators.

Realtors’ Liability for AML in Czech Republic

Illustration to the section “Realtors' Liability for AML in Czech Republic” in the article “Real Estate in Czech Republic – AML Requirements for Realtors”

Realtors’ liability for AML in Czech Republic encompasses a complex set of legal and organizational obligations aimed at preventing money laundering and terrorist financing in real estate.

Violation of these requirements can lead to substantial fines and other sanctions, which we will discuss in more detail in the following sections.

Types of Fines and Sanctions

Sanctions for AML violations in real estate include administrative fines (up to 5 million CZK), suspension or revocation of licenses, and in certain cases: criminal responsibility.

Realtors’ liability for AML extends to all transaction participants, including the contact person and agency head.

In COREDO’s practice, there have been cases where delayed notification of a contact person’s change led to account blocking and operation suspension for up to 3 months.

FAÚ Audits: Common Realtor Mistakes

An FAÚ audit on AML is not just a document review but also an analysis of the internal control system’s effectiveness, KYC procedure quality, and timeliness of suspicious operation reports.

Common realtor mistakes include lack of internal regulations, formal KYC approach, and insufficient staff training.

COREDO’s practice shows: regular training and internal procedure audits: the key to reducing risks and successfully passing audits.

AML and Real Estate in Czech Republic: Business Impact

AML and real estate in Czech Republic: a crucial factor that directly impacts the operation of any business connected with real estate investments and transactions.

Modern anti-money laundering (AML) requirements affect both Czech and foreign companies and impose specific demands on investors and politically exposed persons (PEP).

Additionally, particular attention is paid to disclosing information about ultimate beneficiaries and the source of funds’ origin, which becomes particularly relevant for foreign investors and PEPs.

AML for Foreign Investors and PEP

AML features for transactions with foreign investors are associated with the need to consider PEP identification, source of funds analysis, and risk assessment related to FATF high-risk jurisdictions.

COREDO’s solutions help real estate agencies structure processes so that transactions with foreign investors undergo transparent KYC checks, increasing trust from international partners and banks.

Transparency and Trust in International Business

Financial transparency of transactions and compliance with international AML standards are key factors in attracting investments and scaling business. Compliance in real estate becomes a competitive advantage: banks and partners increasingly require adherence to internal and external standards.

The COREDO team implements solutions for clients to integrate AML procedures with information security and corporate governance policies.

AML for Realtors in Czech Republic: 2025 Requirements

In 2025, new AML requirements for realtors will come into force in Czech Republic: rules for combating money laundering and terrorist financing.

These changes make client control and financial operations an obligatory part of real estate agency operations, regardless of size.

Below are the key steps and a checklist to help agencies comply with updated AML requirements for realtors in Czech Republic in 2025.

Checklist for Real Estate Agencies

Stage	Action	Documents/Tools	Deadline	Responsible
1	Appoint and register an AML contact person	Ministry of Finance form, datová schránka	By March 10, 2025	Director
2	Implement internal AML procedures	Internal regulations	Constantly	Compliance Officer
3	KYC client check	KYC questionnaire, identification	Before transaction	Responsible Manager
4	Determine the beneficial owner	Ownership structure documents	Before transaction	Compliance Officer
5	Report suspicious operations	FAÚ form	Immediately	Compliance Officer
6	Update AML contact person data	Application through datová schránka	Within 5 days	Director
7	Audit and train staff	Protocols, training materials	Annually	Director

Automation and Cost Reduction

Integrating automated AML systems and syncing KYC with CRM allows real estate agencies to minimize operational costs, increase ROI from AML system implementation and ensure process transparency.

COREDO’s solutions include selecting technology and software for AML, staff training, and setting internal policies so that compliance requirements do not hinder business growth.

Recommendations for Entrepreneurs and Realtors

AML requirements in Czech Republic are not just a formality but a strategic factor for real estate business sustainability and growth.

A comprehensive approach to compliance, process automation, regular staff training, and transaction transparency are key elements that allow not only to avoid sanctions but also to enhance international partners’ trust, scale the business, and minimize reputational risks. COREDO’s practice confirms: only systematic solutions and professional support at all stages provide long-term success in the Czech real estate market.