What this class covers
ANZSIC class 6720, Real Estate Services, classifies businesses that primarily provide intermediary services for real property transactions and management. This includes firms that act on behalf of property owners, buyers, and tenants rather than those operating properties themselves. The classification applies to businesses earning fees or commissions for facilitating real estate activities.
In the Australian context, this classification helps government agencies, researchers, and industry bodies track the economic activity of the real estate services sector. It's used for statistical reporting, policy development, and market analysis of businesses that support property markets without owning significant property assets themselves.
Typical businesses in this class include residential real estate agencies that help homeowners sell properties, commercial property firms that manage office buildings for investors, and specialist valuation companies that provide property assessments for banks and insurers. Other examples include auction houses specializing in property sales, rental agencies that find tenants for investment properties, and timeshare management companies that handle owner relations and bookings.
Primary activities in plain English
Businesses classified under ANZSIC 6720 typically engage in one or more of these core activities:
- Real estate brokerage services - acting as an intermediary between buyers and sellers of property
- Real estate agency operations - representing property owners in sales, purchases, or leasing transactions
- Property auction services - conducting auctions for real estate on behalf of owners
- Property management services - handling day-to-day operations of rental properties for owners
- Rental agency services - finding and screening tenants for rental properties
- Timeshare management services - administering timeshare properties and owner arrangements
- Property valuation services - assessing property values for various purposes
Exclusions and nearby codes
ANZSIC 6720 specifically excludes certain activities that might seem related but fall under different classifications:
Legal services such as conveyancing and title transfers are classified separately under ANZSIC 6931: Legal Services. Similarly, engineering inspections and structural property assessments are classified under ANZSIC 6923: Engineering Design and Engineering Consulting Services.
Businesses that primarily operate rental properties themselves (rather than managing them for others) fall under different classes within Division L, such as ANZSIC 6711: Residential Property Operators or ANZSIC 6712: Non-Residential Property Operators.
Practical guidance
When registering your business with the Australian Taxation Office, you'll typically use Business Industry Code (BIC) 67200, which corresponds to this ANZSIC class. This classification may affect your GST registration requirements, as real estate services generally exceed the $75,000 threshold requiring GST registration.
For workers' compensation insurance, real estate services businesses are typically classified under clerical or sales categories rather than construction or property operation classifications. State-based regulators may have specific requirements for real estate professionals, including licensing through bodies like the Real Estate Institute of Australia.
When completing Business Activity Statements (BAS) and tax returns, ensure you correctly report commission income separately from property sales income if you also engage in property development or investment activities. Mixed business operations may need to report under multiple ANZSIC codes if they have significantly different revenue streams.