PEXA Settlement FAQ

PEXA (Property Exchange Australia) is Australia’s online property exchange network. PEXA has been established specifically to assist lawyers, conveyancers, banks and other professionals lodge transfer documents with Land Registries and complete financial settlements digitally.

What is PEXA?
What is a PEXA workspace?
Who can use PEXA?
How is a PEXA settlement initiated?
How is money handled in PEXA?
How are mortgage brokers and loan managers affected by PEXA?
How much does it cost to use PEXA?

 

 

What is PEXA?

PEXA’s description of itself

Here’s how PEXA describes itself on its own website:

“PEXA (Property Exchange Australia) is Australia’s online property exchange network. It assists members – such as lawyers, conveyancers and financial institutions – to lodge documents with Land Registries and complete financial settlements electronically.

PEXA was formed in 2010 to fulfil the Council of Australian Governments’ (COAG) initiative to deliver a single, national e-Conveyancing solution to the Australian property industry. It was originally known as National e-Conveyancing Development Limited.

PEXA is committed to supporting the property industry as it transitions towards a 100% digital conveyancing process that’s fast, safe and efficient.”

In other words, PEXA is the new way conveyancing transactions are completed in Australia. Documents are created digitally, eliminating the clumsy and insecure paper documents of the past, and all communications between the parties (i.e. lawyers, conveyancers and banks) are conducted through the PEXA workspace.


STAY SAFE…
Find out about our FAST and consumer-friendly
pre-purchase contract checking and advice service!


 

 

What is a PEXA workspace?

Under construction should be prepared by a lawyer

Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet. Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet. Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet.


STAY SAFE…
Find out about our FAST and consumer-friendly
pre-purchase contract checking and advice service!


 

 

Who can use PEXA?

Under construction

Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet. Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet. Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet.


STAY SAFE…
Find out about our FAST and consumer-friendly
pre-purchase contract checking and advice service!


 

 

How is a PEXA settlement initiated?

Under construction

Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet. Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet. Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet.


STAY SAFE…
Find out about our FAST and consumer-friendly
pre-purchase contract checking and advice service!


 

 

How is money handled in PEXA?

Under construction

Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet. Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet. Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet.

 


STAY SAFE…
Find out about our FAST and consumer-friendly
pre-purchase contract checking and advice service!


 

 

How are mortgage brokers and loan managers affected by PEXA?

Mortgage brokers

Mortgage brokers first appeared in the early 1990’s and their role was to source loans from various lenders and present loan options to real estate purchasers. Over time their role become more complex, as banks and non-bank lenders came to rely upon mortgage brokers to collect, collate and deliver various documents as part of the loan approval process. In effect, mortgage brokers took over the role of the bank manager, and became what is commonly known as the loan manager.

Eventually the banks had little communication with the borrower’s lawyer, and came to rely on the loan manager to communicate with the borrower, the lawyer and the bank. The loan manager would contact the conveyancing lawyer and request copies of documents, such as the Transfer of Land, Goods Statutory Declaration, Purchaser Statement, Notice of Acquisition and a variety of other forms that the conveyancing lawyer would prepare. This process tended to generate additional costs for a borrower, particularly if documents went missing and a fresh set had to be sought from the conveyancing lawyer.

PEXA has now streamlined the loan and settlement process for the loan manager by putting the bank in direct contact with the lawyer through the “PEXA Workspace”. There is no longer any need for the mortgage broker to obtain copies of documents from the conveyancing lawyer, as communication with all parties to the conveyancing transaction now takes place through PEXA.

Once the loan manager has collected initial loan application documentation from the borrower (i.e. a copy of the Contract of Sale, payslips, tax returns etc.), the rest of the lending process is handled by the lender’s PEXA team.

The lender’s PEXA team

Every lender now has a dedicated PEXA team, whose role it is to accept the PEXA workspace invitation, examine the digital documents created by the PEXA system, determine the amount of funds available for settlement, and to distribute the funds according to the borrower’s instructions. Any documents or information the lender may require is sought through the lender’s PEXA team, who communicate with other parties in the PEXA workspace by way of the PEXA workspace “conversations” facility.

Safe delivery of private/sensitive information

Before PEXA documents were routinely sent to unknown staff members in banks, broking firms and others involved in the conveyancing transaction by email, fax or post. Even the most sensitive of documents were dealt with in this way. It was quite common for documents to simply “go missing” without any taking responsibility for their security. In recent times, hacking, diversion of bank account details, identity theft and a host of related cyber-crimes have caused huge loss to business and individuals.

Electronic conveyancing, and particularly the development of PEXA, has been one of the main forces of change in the real estate and conveyancing industry. New requirements for Verification of Identity (VOI), signed Client Authorisations, and the move to digital documentation accessible only by authorised persons using digital signatures has greatly improved security for conveyancing consumers.

Our office no longer delivers documents to third parties, and any documents required by clients are stored in a Secure Document Exchange, set up in our electronic matter system for each client. Access to the SDX portal is by way of logging in with a username and password. The client can download documents anytime, 24/7.


STAY SAFE…
Find out about our FAST and consumer-friendly
pre-purchase contract checking and advice service!


 

 

How much does it cost to use PEXA?

Under construction

Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet. Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet. Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt ut labore et dolore magna aliquyam erat, sed diam voluptua. At vero eos et accusam et justo duo dolores et ea rebum. Stet clita kasd gubergren, no sea takimata sanctus est Lorem ipsum dolor sit amet.


STAY SAFE…
Find out about our FAST and consumer-friendly
pre-purchase contract checking and advice service!


Categorised in: