The PEXA online property exchange that allows lawyers and conveyancers to electronically lodge Land Registry documents and complete Financial Settlement is finally here.
According to Tony Richards, head of payments policy at the Reserve Bank of Australia, property batches settled on the RBA’s RITS system “reached nearly 4,000 per month” late last year (source: http://www.rba.gov.au/speeches/2016/sp-so-2016-02-23.html)
To put is simply, PEXA removes the need to physically attend at settlement by providing a secure access to online property settlement. By harnessing the power of the latest technology, this new system benefits both buyers and sellers with fast access to cleared funds and greater certainty of successful settlements.
Dunwoodie Legal is proud to be one of the industry leaders in the Eastern Suburbs having successfully completed our first electronic conveyance in November 2015.
The key benefit stemming from this latest innovation is improved time frames as, once settlement has been confirmed, the Transfer is immediately lodged meaning purchasers become registered proprietor of the property much quicker than in a paper environment.
Delays in registration raise infrequent but serious exposure which is eliminated by electronic settlement, making the whole process much safer for our clients at a time when frauds relating to real estate transactions are rapidly increasing. Electronic conveyancing also disposes of the need for bank cheques as the Reserve Bank of Australia simply moves all required funds between the nominated accounts taking out the hassle of dealing with banks, saving both time and money.
As part of our continuing commitment to excellent client service, we are ensuring that we are up to date with the latest innovations in the New South Wales property industry. Electronic conveyancing is, with no doubt, the way forward in an expanding property market. Adding to this, the decline in cheque is a global phenomenon and we are expecting an exponential growth of online conveyancing to occur in the coming years.
For more information about PEXA, please click here (https://www.pexa.com.au/buyers-sellers.
Update on PEXA at Dunwoodie Legal
We have successfully completed a further PEXA transaction for a Vendor. The client received the proceeds of their sale as cleared funds into their nominated bank account within 90 minutes of settlement taking place. The lack of bank cheques and clearing time mean that everyone is paid immediately and you are ready to move in to your new property without delay!