In their partnership with Australian Technology Innovators, the parent of Infotrack, the ASX are aiming to give users a “streamlined and comprehensive” solution to the difficulties associated with the current property settlement system.
What Is e-Conveyancing?
e-Conveyancing is a digital service that takes the settlement process of property and shifts it online. It consists of all the legal and monetary aspects of a sale, and allows all involved parties to work together at the same time and without paperwork.
Why Settle Online?
Property Exchange Australia (PEXA), the current leader of the local e-conveyancing market, says online settlements make the process safer, easier, and quicker. PwC reported in 2015 that paperwork and postage account for 20% of settlements being delayed a median of 7 days, with 25% of these customers suffering financially.
How It Works
Infotrack’s product, backed by ASX Limited, is called ‘Sympli’; ‘simple’ because it will integrate with customer’s existing practices and systems.
PEXA’s online service tracks the settlement in real-time, and is already backed by four state governments.
ASX’s Chief Executive Dominic Stevens sees “an attractive opportunity” for both parties of the Sympli deal, believing the product will leverage off ASX’s expertise “in secure, electronic financial market settlements and InfoTrack’s in property settlement technology and processes.”
“Entering the electronic property settlement market is a natural evolution for ASX. We already settle approximately $70 billion in transactions electronically every day and have been the central settlement venue for the Australian financial market for decades,” Stevens adds.
With the announcement of a fresh new competitor, PEXA have “always been mindful” that another Electronic Lodgement Network Operator (ELNO) would exist one day:
“It's actually a pretty good indicator of just how far this industry has come in embracing e-conveyancing and the transition to digital processing of conveyancing transactions,” PEXA Group Executive Mike Cameron told Fairfax last week.
Subject to ELNO approval and regulatory sign off, Sympli is expected to be available by the end of the year.