Judit Pino: "There's a serious lack of compliance culture in the real estate sector"

Judit Pino is a regulatory compliance expert who has specialized in recent years in Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) in the real estate sector. She has extensive experience across different industries, which allows her to confidently state that analysts become "a kind of detective" to investigate, analyze, and confront a "second world that operates outside the view of most people."

"The real estate sector's reputation as a weak point in prevention isn't unfair," the analyst asserts, understanding that large banks can handle greater "investment and auditing." "That's why accessible tools like Didit can help independent contractors and small businesses," the analyst states.

Q: What attracted you to the world of compliance and money laundering prevention?

A: It's an exciting sector where every day is a challenge and you never get bored. Constant training is essential, especially with the emergence of artificial intelligence and new technologies. You become a kind of detective: you investigate, analyze, and face a "second world" that operates outside the view of most people. Each experience has enriched me, from cryptocurrencies to counterfeiting. If you don't stay updated, you get left behind.

Q: How has your view of compliance changed since you started?

A: Tremendously. Within a company, the compliance area is usually seen as the "bad cop," the one that puts the brakes on commercial objectives. In banking, control is much stricter because of fines and reputational impact. In real estate, regulation is increasing and that demands more compliance professionals and resources, which can lead to delegating these tasks to third parties.

Q: What sets the real estate sector apart in terms of compliance?

A: The main difference is the capacity for investment in technology and internal audits. A bank can afford advanced tools and internal audits; an independent contractor or small real estate company cannot. With the single AML regulation and the 6th AMLD6 Directive, everyone will have to get up to speed, but the adaptation will be very uneven.

Q: Is the real estate sector's reputation as a weak point in money laundering prevention fair?

A: It's not fair. The problem is that small operators aren't given enough tools or support. If the same level of compliance is required, aid or subsidies should be offered. If not, the sector will end up monopolized by large funds and independent contractors will be relegated to working for them.

Q: Is compliance awareness growing in the sector?

A: Without a doubt. With the arrival of the new directive and the tightening of regulations, independent contractors and small businesses are becoming more aware and are thus obligated to step up to the plate.

Q: What importance do processes and technology have in regulatory adaptation?

A: They're key. Every regulatory change involves redesigning alerts and applications. Ideally, the tools integrate perfectly with the client's systems and adapt to their needs. But there isn't always budget for that, so you end up working with partial solutions or "patches." It's essential to do exhaustive testing and have technology providers get involved in the client's day-to-day operations. In the case of independent contractors or small operators, the solution might be tools like Didit.

Q: Has the relevance of identity verification processes changed?

A: A lot. With online property reservations, where many independent contractors don't understand the real importance of these processes both online and offline and see compliance as an obstacle. There's a lack of compliance culture, knowledge, and resources for small real estate companies or independent contractors, which is why tools like Didit can help them. In large companies, the situation is different.

Q: What do you think about tokenization and crypto platforms in real estate?

A: They're an opportunity for the sector, but also a risk for money laundering. The new regulations seek to regulate these models to increase security, although excessive regulation can complicate operations. Customer identification remains essential, beyond digitalization.

Q: How is fraud prevention coordinated between internal and external teams?

A: Through internal controls, internal and external reporting, requirements, and collaboration with authorities. Compliance work is fundamental to prevent innocent people from being affected by fraud or identity theft. We need more awareness, especially for small operators.

Q: What outlook do you see for the future of compliance in real estate?

A: Due diligence will be much more exhaustive and both quantitative and qualitative analysis will be valued. We'll need professionals with experience and global vision. The trend is toward concentration: the big players will survive and the small ones will have to adapt or I'm afraid they'll disappear. The sector will be more global, digital, and demanding.