COAG has agreed to the establishment of a national platform to settle all property transactions electronically.
A single national electronic conveyancing system is a significant step towards creating a seamless national economy in Australia.
Australia's first national electronic conveyancing system - to be operational by March 2010 - will provide an efficient online national platform to:
* Settle property transactions electronically;
* Lodge instruments electronically with land registries; and
* Meet associated duty and tax obligations electronically
The agreement to establish a national electronic conveyancing system is only possible because all states and territories have agreed to cooperate together.
A national electronic conveyancing system will mean consumers across the country will use the same electronic system to settle all property transactions.
Under the current system every state and territory has their own unique property conveyancing system with different processes and procedures, based on an antiquated system of paper-shuffling.
Industry groups estimate a national electronic conveyancing system could reduce the costs of buying and selling property by $250 million a year.
Consumers will save money by spending less on expensive legal and conveyancing fees and transaction costs such as bank cheques.
This national system will mean that whether they buy a house in Darwin or Dubbo, Bundaberg or Ballarat, consumers will use the same online system to lodge and exchange all the documents, certificates and contracts needed to buy their new house.
COAG has agreed to the following timeline for the implementation of a new
e-conveyancing system.
* July 2008 - Agree to form of legal entity for a new e-conveyancing system
* October 2008 - Settle and sign governance agreement for a new e-conveyancing entity
* October 2008 - Agree on funding for a new e-conveyancing entity
* December 2008 - Establish a new e-conveyancing entity and appoint board
* March 2009 - Agree on a nationally uniform business processes
* December 2009 - Implement any necessary legislative changes in jurisdictions
* March 2010 - Commencement of a new e-conveyancing system
This national electronic conveyancing system will require the establishment of an e-conveyancing entity which will be owned by all relevant jurisdictions.
The new e-conveyancing entity board will be skills-based and include directors with banking, conveyancing, information technology and other relevant commercial skills, as well as directors with knowledge of State and Territory processes concerning land registries, duties and taxes.
Victoria is the only jurisdiction that currently has an electronic conveyancing system that allows you to complete property transactions online.
The entity is to assess the Victorian electronic conveyancing system ECV and, to the extent it is suitable, use it as the basis for the underlying software for the new national e-conveyancing system.
The Council of Australian Governments has agreed that the COAG Business Regulation and Competition Working Group will oversee the implementation of a new e-conveyancing system.