When Buying or Selling a House, How Is the Process of Verification Handled?

Whenever large sums of money change hands, there is always the risk of potential fraud or deception. This is why all parties in a property transaction are required to identify themselves in accordance with government policies and regulations. So, if you are about to buy or sell your first property, you'll be interested in the procedure to make sure that you can comply. What do you need to know about this process?

The Need for Verification

These days, settlement matters can often be taken care of online in a process that is called e-conveyancing. It's a relatively recent development but places even more emphasis on identifying and accepting the relevant parties. Remember, governments are particularly keen to avoid money laundering and frustrate any attempts by terrorists to hide any assets. This is why they require banks to conduct anti-money laundering and "know your customer" checks, which can often go into great detail.

Independent Verification

When it comes to buying or selling a property in your situation, you need to produce certain documents that an independent party can verify. Usually, you need to take these documents to your conveyancer, who can confirm that they have inspected everything and are happy with what they see.

All parties to a property transaction must be independently verified. It doesn't matter if the buying entity is an incorporated body or is working under a power of attorney.

Forms of Identification

Usually, you would produce your passport and driver's license. If you don't have a passport, you could bring a marriage certificate, Medicare card or birth certificate instead. The person who checks documents must also take copies of them for the file.

Using a Declarant

Some people are unable to produce any of these documents, and if you are in this position, you may still be able to proceed. In this case, you would need to bring somebody with you to the meeting with their documentation. They would then declare that they can identify you.

Video Call

It may also be possible to conduct an interview through a video call. In this situation, you would show the other party your documentation using your webcam, which may be enough to finalise the identification process.

Working with Australia Post

If you are buying from afar and cannot meet your conveyancer in person at their office, you may be able to go into an Australian Post office. These facilities are also set up to verify identity but will charge you a fee for doing so.

Initiating the Process

Ask your conveyancer about this procedure. You'll want to get everything out of the way as quickly as possible so that these administrative tasks do not interfere with your final settlement.

For more information, contact a conveyancing service near you.