A little over a month ago, electronic settlements in QLD went from being a convenient alternative
A little over a month ago, electronic settlements in QLD went from being a convenient alternative to paper property settlements to now being the ONLY option, as the sunshine state followed our southern neighbours in making the official jump to the brave new world of digital property transactions.
Utilising a now nationally accepted system called PEXA (Property Exchange), while there are new costs associated with the use of the system (paid by each individual party to the transaction), there are some serious time savings and security features which have made it a no brainer for dealing with our biggest assets.
Going back into the dark ages of up to January 2023, the settlement day transaction of real property would involve a number of moving parts. Starting off with the people component, typically you would see 4 representatives in a room (yes, a physical room), being a conveyancer for the buyer, a conveyancer for the seller, an agent for the bank discharging the mortgage over the property and an agent for the bank putting a new mortgage over the property. so firstly, get all of those in the same place at the same time. Next, you needed the transfer documents to get the property from one name to another, mortgage discharge paperwork, new mortgage paperwork, title documents, and of course physical cheques – cheques for banks, real estate agent, Council, Body Corporate and even the lawyers themselves. If any of these were late, missing or just plain wrong, then good luck getting it all fixed on the same day. Settlement might be booked for 3pm but it might end up at 4pm, or might not happen at all, if you are unlucky (and 9 times out of 10, have the removalist truck parked at your soon to be new home).
Today? No rooms, no representatives and NO CHEQUES. Everything is submitted into a digital workspace, bank account details are entered, checked and rechecked and once all the elements are in place, its as simple as a click to transact. Titles are lodged in the new name that same day and cleared funds come through same day as well.
Thanks to the digital workspace, you also have the freedom of settling outside of that very specific afternoon window. It could be midday, it could even be 9am – giving you the headstart on the move. Just make sure you check the settlement time with your conveyancer – because you need to be OUT, and keys ready with the agent in advance!