Discover How Shareable Identity Wallets Will Transform Real Estate Transactions For Agents In Australia
In the competitive and highly regulated real estate market, verifying the authenticity of seller information is paramount. The NSW Government Department of Fair-Trading mandates strict guidelines for real estate agents, including the use of the “100-point ID system” and documentation to prove legal property ownership. With identity crime being one of the most prevalent crimes in Australia—1 in 3 Australians are likely to be victims—managing identity transactions has become a critical aspect of real estate operations.
How Real Estate Agents Collect Identity Information and Why It's A Problem
Currently, real estate agents employ various methods to collect identity information, including:
Manually sighting documents during face-to-face meetings
Requesting customers to email the necessary information
Using client onboarding platforms to gather this data
While these methods are commonplace, they present significant challenges:
Time-Consuming: These processes are cumbersome for both agents and customers, leading to delays in transactions.
Increased Risk of Fraud: Solely relying on document sighting can lead to fraud, misrepresentation, and errors.
Data Breach Concerns: Sharing sensitive information via email or storing it on internal IT systems exposes businesses to data breaches.
Incomplete Verification: These methods often fail to provide full authentication as they don't verify against official document verification services.
Will Real Estate Agents Become AUSTRAC-Regulated?
As part of the reforms to Australia’s anti-money laundering and counter-terrorism financing (AML/CTF) regimes, real estate agents are poised to become AUSTRAC-regulated. This will significantly expand the customer due diligence process. Beyond verifying identity information, agents will also be required to check if customers are politically exposed persons or listed on Australian sanction lists. More details on these new regulations can be found here.
The Rise Of Shareable Identity Platforms
To meet these increasing demands, shareable identity platforms offer a powerful solution. These platforms allow customers to create a digital ID wallet and give businesses access to a tokenised version of their information. This approach not only enhances security but also minimises the risk of data breaches for businesses since they no longer need to store personal information.
In August 2024, the Australian Government announced the development of a new digital ID system called “Trust Exchange (TEx).” While still in the proof-of-concept phase, TEx aims to provide verification tokens for identification information held within the “myGov” system, promoting the concept of a shareable ID.
How VerifiMe Can Empower Real Estate Agents
VerifiMe, a leading shareable ID platform, is designed to simplify and secure identity verification for real estate agents. By adopting VerifiMe, agents can benefit in the following ways:
Enhanced security and accuracy: VerifiMe uses advanced technology to verify identity documents and conduct liveliness checks, ensuring that the person presenting the documents is the legitimate owner. The platform can also verify property ownership documents, reducing fraud risk.
Streamlined verification process: The digital verification process is faster and more efficient than traditional methods, saving time for both agents and clients. VerifiMe's user-friendly interface allows agents to complete verifications quickly, boosting overall productivity.
Reduced legal and financial risks: By ensuring accurate and thorough verification, VerifiMe helps agents comply with legal requirements and avoid potential lawsuits related to misrepresentation or fraud. The platform also provides a secure audit trail, documenting all verification steps for due diligence.
Improved client trust and satisfaction: Using a trusted verification platform like VerifiMe enhances the credibility of the real estate agency, building trust with clients. Clients appreciate the added security and transparency, leading to higher satisfaction and loyalty.
Seamless client journey: VerifiMe enables clients to reuse their identity verification across multiple service providers involved in the transaction process, such as accountants, conveyancers, and lawyers. This not only simplifies the client experience but also creates cost efficiency within the VerifiMe network.
Ready To Elevate Your Real Estate Business?
If you're ready to enhance security, streamline processes, and build client trust in your real estate business, VerifiMe is here to help. Reach out to us today to learn more about how we can support your success.
