In today’s digital age, a paperless transaction is indeed possible even in the real estate industry. The introduction of new laws which now allow electronic contracts and signatures has made the conveyancing portion of the transaction much easier and faster.
With digital technology, home buyers and sellers can save time and avoid loads of paperwork in pursuing their real estate transaction.
Electronic Exchange
The process is known as an electronic exchange which involves three simple steps.
The first step is the preparation of the contract by the vendor’s solicitor. This is done via an online search provider.
The second step is the uploading of the contract to a secure dashboard and sending of the secured link to the contract via email to get the signatures of the parties involved.
The third step is the exchanging of contracts by dating it via the vendor’s solicitor.
All parties are then emailed a copy of the signed electronic contract.
Electronic Signatures
The parties involved can affix their signatures on the contracts using their smartphone, tablet or computer through a mouse or stylus. Another option is to use a standard computer generated signature.
It is believed that electronic signatures are more secure compared to the paper version. This is because it is coded with a person’s information such as his IP address and GPS location where he or she signed the electronic contract.
Electronic Settlement
As for the settlement part, this is done through a separate provider known as the Property Exchange Australia or PEXA. With PEXA’s online property transaction platform, settlement time is reduced to approximately one week and conveyancing costs are lowered by as much as 25 percent.
To be able to use the PEXA system, all parties need to register on the platform first. By using this digital exchange, people involved in a property transaction can accomplish title transfers in one workspace.
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By Wendy Chamberlain
Copyright 2018 | All Rights Reserved
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With a passion for all things real estate spanning over 20 years, Wendy loves that her role as a Buyers Agent or Sellers Advocate gives her buying and selling clients an experienced voice they can trust when it comes to negotiating to buy or sell something as important as their home or investment. Wendy considers it a privilege to be asked to help others realise such an important goal as home ownership and to be trusted with that honour. Get in touch today via www.chamberlainadvocates.com.au for a no obligation chat about how Wendy can work with you and help you save time and money to secure your new home sooner.
