Conveyancing Transformed NSW Regional Roadshow April/May 2017 - - PowerPoint PPT Presentation

Conveyancing Transformed NSW Regional Roadshow

Office of the Registrar General April/May 2017

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Conveyancing Transformed - NSW Regional Roadshow

Office of the Registrar General

1. Restructure and concession of LPI 2. Electronic conveyancing implementation in NSW 3. The future of conveyancing

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Conveyancing Transformed - NSW Regional Roadshow

Restructure and Concession of LPI

Update - LPI structural changes

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Update - LPI structural changes

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• Office of the Registrar General (ORG)
• Will oversee the operations of LPI - Titling and

Registry Services – after concession

• Focuses on legislative change and policy

administration relating to land registry functions

• LPI - Titling and Registry Services
• Land Registry operations
• Land and Property Information NSW (Authorised

Transaction) Act 2016 (NSW)

• Private operator for 35 year Concession
• Move to a private operator in the next few months

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Conveyancing Transformed - NSW Regional Roadshow

Electronic Conveyancing Implementation in NSW

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Electronic Conveyancing Implementation in NSW

Release 1 – 8 October 2013

• Mortgages and

Discharges

• Big 4 banks + others

Release 2 – 14 November 2014

• Transfers, Caveats and

Withdrawals of Caveat

• Representative Subscribers
• Electronic settlement

Nov 2016 – Priority Notices

Over 125,000 dealings lodged electronically Over 1,800 Subscribers signed up

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Electronic Conveyancing Implementation in NSW

e Dealing Lodgment Statistics to 24 March 2017

Total Release 1 Lodgments (Discharges & Mortgages)

2923

Release 2 Dealing Type Totals: Discharge of Mortgage:

65,996

Transfer:

2,980

Mortgage:

52,792

Withdrawal of Caveat:

579

Caveat:

2,437

Total Release 2:

124,784

Priority Notice:

495 Total e Lodgments 125,279

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Electronic Conveyancing Implementation in NSW

Total Solicitors (NSW)

1,178

Total Conveyancers (NSW)

387

Total Solicitors (VIC)

133

Total Conveyancers (VIC)

3

Total Solicitors (QLD)

60

Total Solicitors (ACT)

5

Total Solicitors (WA)

11

Total Conveyancers (SA)

1

Total Solicitors (SA)

8

Total Financial Institutions

86 Total Subscribers in NSW 1,872

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Conveyancing Transformed - NSW Regional Roadshow

The Future of Conveyancing

The future of Conveyancing

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Conveyancing is undergoing “Digital Disruption”

“Digital disruption refers to changes enabled by digital technologies that

• ccur at a pace and magnitude that disrupt established ways of value creation,

social interactions, doing business and more generally our thinking.”

As a result Conveyancing is changing rapidly Some Drivers for change:

• Electronic Conveyancing - PEXA
• National Consistency - ARNECC
• Changes out side “Conveyancing” – Digital Government;
• nline property marketing; increased accessibility of

information

Conveyancing Rules

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Real Property Act 1900 (NSW)

• Section 12E - The Registrar General may make Conveyancing

rules covering, for example:

• verification of identity and authority
• client authorisations
• the retention of documents and evidence
• classes of documents that must be lodged electronically
• alternative arrangements for execution and attestation
• The Registrar-General may refuse to accept or register, or may

reject, a conveyancing transaction that does not comply with the requirements of the conveyancing rules [section 12E (9)]

A paperless conveyancing future in NSW

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What’s Next?

4 July 2016 - Dominic Perrottet, (former) Minister for Finance, Services and Property said:

“Across Australia, the future of conveyancing is

• digital. The benefits are clear, the technology is

here, and this is our plan for NSW to lead the way. We are committed to working with all stakeholders to make sure they have the technical capacity, training and resources they need to adapt as conveyancing goes digital.”

A paperless conveyancing future in NSW

28 February 2017 - Victor Dominello, Minister for Finance, Services and Property said:

“…the Government has committed to a detailed timetable for the introduction of paperless

• conveyancing. By July 2019, all standard

property transactions in NSW will be conducted electronically, and all Certificates of Title will be phased out in favour of e-Titles.”

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NSW - Transition to e-Conveyancing

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Stage 1

• 2016:
• Priority Notices – introduced as electronic only: [R 8.1]
• 2017: Affects financial institutions (ADIs) in 2017 and parallels measures

in Vic and WA

• From 1 March 2017 - Mortgagees (or their representative) –

standalone Discharges: [R 7.2]

• From 1 March 2017 - Standalone Discharges by Authorised Deposit

Taking Institutions (ADIs): [R 8.2]

• From 1 March 2017 - Standalone Mortgages by ADIs in respect of

which the National Credit Code applies: [R 8.2]

NSW - Transition to e-Conveyancing

Stage 1 Continued

• From 1 March 2017 - Extension of eCT issue - ADIs will receive

an eCT on registration of an electronic mortgage (where they are first Mortgagee): [R 9.1]

• From 1 August 2017 - ADIs will receive an eCT on registration of

a paper transaction (where they remain first Mortgagee)

• From 1 August 2017 - Refinance transactions by ADIs: [R 8.4]
• From 1 August 2017 - Standalone Mortgages by ADIs whether

under the National Credit Code or not: [R 8.4]

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NSW to Transition to e-Conveyancing by 2018

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Stage 2:

• 2018:
• 1 July 2018 - standalone Caveats
• 1 July 2018 - standalone Transfers
• 1 July 2018 - Mortgages and Discharges by non ADIs
• 1 July 2018 - start cancelling paper CTs and issuing eCT held by non-

ADIs

• October 2018 - complete cancelling paper CTs and issuing eCTs held

by ADIs

NSW to Transition to e-Conveyancing by mid- 2019

Stage 2 Continued

• 2019:
• Paper CTs to be removed completely
• All mainstream conveyancing to be lodged electronically -

combinations of Discharge, Transfer and Mortgage cases

• Exceptions to all of the above: eg lodged with other dealing

Conveyancing Reform Committee will continue to meet to advise on implementation

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NSW - Transition to e-Conveyancing

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A paperless conveyancing future in NSW - Current eConveyancing Scope

1. Priority Notice, Extension of Priority Notice and Withdrawal of Priority Notice 2. CoRD Consent 3. Discharge of Mortgage 4. Mortgage 5. Transfer 6. Caveat and Withdrawal of Caveat

NSW - Transition to e-Conveyancing

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A paperless conveyancing future in NSW Residual Document Strategy

• Plan to enable more documents to be lodged electronically
• By mid-2019 the following will be available:
• Change of Name
• Notice of Death
• Transmission Application
• Lease
• Transfer by Mortgagee
• Transfer of Lease/Mortgage
• Charge

What to expect in the future

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• Uniform National Mortgage Form
• Standard Mortgage Discharge Authority (PEXA based)
• Electronic contracts and Electronic Vendor Disclosure
• Introduce Client Authorisations for paper

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More Information - ARNECC Guidance Notes

ARNECC has so far published 6 Model Participation Rules Guidance Notes:

1. Client Authorisations 2. Verification of Identity 3. Certifications 4. Right to Deal 5. Retention of Evidence 6. Compliance Examinations https://www.arnecc.gov.au/publications/mpr_guidance_notes

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Digital Innovation

“Digital innovation is transforming the way people

do business in every city and every country around the world. The reality is the collaborative economy is here to stay.”

Victor Dominello MP 19 January 2016