eConveyancing is set to revolutionise the way we trade property

first_imgSolicitor Matthew Ray has become an advocate of online selling. AAP Image/Claudia Baxter.Buying and selling property is set to move into the modern era with a national digitised conveyancing platform to change the way we trade property.Gone will be the days of the long wait for bank cheques to clear and errors holding up settlements, as the industry embraces a modern way to deal with Australia’s $7.2 trillion residential property market.A new platform which allows buyers, sellers, banks and solicitors to exchange and settle on real estate electronically has been created by Property Exchange Australia Limited (PEXA).According to PEXA group executive, Mike Cameron, the system speeds up many parts of the settlement process.It would allow sellers to receive their money immediately rather than waiting three days for bank cheques to clear.“You’re (buyers) also lodged on the title immediately as opposed to the paper world where it can take up to several weeks before your name is on the title, and you own the property,” he said.Mr Cameron said because information could be shared and cross checked between parties before settlement, the platform removed possible errors that could slow down a property settlement.“Misspelled names or where you can’t settle if the bank cheque is five cents out – in PEXA, that all goes away,’’ he said.He said between 22 per cent and 30 per cent of settlements carried out in the “paper world’’ failed or had to be moved because of the errors that could occur.Mr Cameron tipped that as awareness of the system grew, electronic conveyancing would become much more commonplace. He said the security of the PEXA system was similar to that of the banks.“We are heavily regulated by ARNECC – Australian Registrars’ National Electronic Conveyancing Council – and we have to be compliant there from a security perspective, be it cyber process and so forth. It’s audited annually and we have the same protections (as the banking sector has) in place,” he said.More from news02:37Purchasers snap up every residence in the $40 million Siarn Palm Beach North1 hour agoNew apartments released at idyllic retirement community Samford Grove Presented by The end game is to see 100 per cent digital across all property transactions, Mr Cameron said.An early adopter of the system was Queensland firm, Craig Ray & Associates.Solicitor Matthew Ray said while the system was available in Queensland now, the movement away from the old paper- only process was taking some time.“We were one of the first 50 subscriber law firms in Australia – I call myself a bit of a PEXA evangelist to other solicitors,” he said.“The limitation with the rollout in Queensland is the legal practitioners.“A large number are registered to use it and have never done a settlement in it,” he said.“It’s a shame because the platform is intuitive and closely mirrors what we call the ‘paper settlement’, so it’s not hard to learn in any way, shape or form, it’s just a bit of an old stuffy profession that’s reluctant to change,” he said.Mr Ray said he doesn’t miss the old system and looked forward to PEXA being broadly adopted.“The old system was riddled with opportunities for human error,” he said.“With the online platform, there is no data entry, there are no figures that can go wrong. “The whole thing balances and checks itself so that settlements happen smoothly, on time and with a much reduced opportunity for human error to play a part in delaying things,” he said.last_img

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