What is PEXA? By Kerry Allinson, Practice Manager.
PEXA (Property Exchange Australia) is an online exchange platform that allows participants (such as lawyers and financial institutions) to settle your conveyance, electronically. PEXA has advised that the platform was designed with the aim to give Buyers and Sellers a higher assurance of successful property settlements.
In the paper world of conveyancing, the Seller would receive a bank cheque for the sale proceeds at settlement. This bank cheque is then required to be physically banked to the Seller’s bank account. As most people may be aware, bank cheques still take around 3 to 5 business days to clear. This means as a Seller, you are unable to access your settlement funds until clearance occurs. Using the PEXA platform, sale proceeds are processed directly to your nominated accounts, as cleared funds.
Other benefits to the Seller and Buyer include:
- Online document checks reduce manual processing errors;
- Settlements are more than likely to occur on-time;
- Registration of any releases of mortgages, transfer of the property into the Buyer’s name and any associated mortgages occur at the time of settlement (in paper settlements, the process can take many weeks to complete); and
- No associated bank cheque fees.
Contact our Conveyancing Team today for all your conveyancing needs.
Miller Sockhill Lawyers, based in Maroochydore on the Sunshine Coast are a PEXA registered firm and in most cases, we are able to complete your sale or purchase using PEXA.