PEXA – STREAMLINING THE CONVEYANCING PROCESS
McLaughlins Lawyers has recently registered with PEXA (Property Exchange Australia) which is a national property exchange network that facilitates electronic conveyancing.
PEXA replaces the traditional paper based system of conveyancing and in turn, negates the need for a physical settlement whereby parties hand over documents and cheques in person.
It allows all parties including lawyers, conveyancers and financial institutions to lodge documents and complete the settlement transaction online.
What does PEXA mean for you? There are a number of benefits, including:
- Convenience – you will no longer be required to execute original paper transfer documents as all documents can be digitally signed.
- Faster access to proceeds of sale – payment is electronically transferred at the Reserve Bank level, so you will no longer need to wait 2 – 3 business days for cheques to clear. This also allows real estate agents access to their commission funds on the afternoon of settlement.
- On time settlements – all documents are validated prior to settlement ensuring certainty and reducing the risk of delayed settlement (in the event one party is not satisfied with a document).
- Immediate ownership – purchasers of property are registered at the Land Registry within minutes of settlement taking place, which significantly reduces the paper transaction timeframe for registration (currently 2 – 6 weeks). In particular, this will greatly benefit purchasers/developers who require confirmation of ownership to allow their builders to commence construction works.
- Simultaneous and interstate settlements – PEXA allows for a simultaneous sale and purchase to take place across two different states, and even allows up to 10 settlements to be linked. If you are considering a move interstate, PEXA will ensure the transaction is smooth and seamless.
The introduction of PEXA also allows us to assist with property settlements in Queensland, New South Wales and Victoria (previously we could only act in relation to property settlements in Queensland due to the different systems between states).
If you require our assistance to guide you through the process of purchasing or selling property please do not hesitate to contact McLaughlins Lawyers and speak to one of our highly-skilled lawyers today.
Author: Alex Hamlyn and Cassie Ross
Directors: Ian Kennedy and Sophie Pearson
Date: 10 July 2019