National Mortgage Form About to be Rolled Out

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National Mortgage Form About to be Rolled Out

The development of the National Mortgage Form (NMF) by the Australian Registrars National Electronic Conveyancing Council (ARNECC) has been in development for many years. It is hoped the implementation of the NMF will simplify the process for obtaining a mortgage. It disallows financial institutions from using their own forms, which can vary widely between institutions. From late May 2017, at least in New South Wales and Victoria, the NMF will be able to be used for transactions involving paper mortgages.

Existing registered Memoranda of Common Provisions may still form part of the terms and conditions of the mortgage by stating the document reference in the applicable panel on the NMF.

The rollout of the NMF for electronic mortgages is taking place at a slightly later date to coincide with the release by PEXA of new versions of its operating procedures and guidelines.

Following the introduction of the NMF, there will be a transition period from late May 2017 to the end of December 2017 during which period paper mortgages can either be lodged in the new form or via existing approved forms. From 1 January 2018, all paper mortgages signed on or after that date must be lodged in a format using the NMF.