Conveyancing is the legal term used to describe transfer of legal title of real estate or land from the owner (the Seller) to another (the Buyer), or the granting of an encumbrance such as a mortgage from one person to another. Conveyancing in Australia is usually completed by a solicitor or a licensed conveyancer.
Electronic Conveyancing or e-Conveyancing describes the process of performing settlements online. It aims to provide an option for parties to complete property transactions electronically. This includes electronic lodgement with Land Registries and the settlement of funds.
Electronic conveyancing will be conducted using the purpose-built Property Exchange Australia (PEXA) platform. PEXA is a secured site; only registered subscribers such as lawyers, conveyancers and financial institutions will be able to use the system. Parties registered for e-conveyancing can undertake the following online:
• Lodge the Land Title dealing documents and related instruments needed to register changes in property ownership and interests.
• Allow the different and accredited parties involved in the transaction to view and complete the documents to conclude the property exchange or transaction.
• Allow for the electronic settlement of all financial transactions at a nominated date including settlement monies, duties, taxes and any disbursements.
• Lodge electronically Land Title instruments for registration with the relevant State or Territory Land Registry for electronic processing.
Benefits of e-Conveyancing:
• Eliminates the need for paper-based transactions thus reducing the costly manual process and paperwork.
• Electronic processing from dealing preparation to registration.
• Lower lodgement fees for online transactions.
• Greater transparency, parties will be able to see the status of documents in the transaction.
• Reduction in failure rate – using online pre-lodgement verification enables parties to verify information before proceeding to settlement.
• Efficiency –settlement and lodgement will occur at the same time.
• Paying duties, fees and taxes at settlement without cheques or mail delays.
• Practitioner and consumer convenience; lodging instruments and delivering reports electronically without the delays of mail and couriers.
• Greater efficiency and time saving as travel time to settlements, arranging bank cheques and arranging execution of transfer documents is no longer required.
• There is no limit to the number of settlement which can take place at the same time – the physical restraints of settlement are no longer applicable.