---
title: "Residential Conveyancing & Property"
url: "https://ailawframework.com/practice/residential-conveyancing-and-property"
type: "practice_area"
site: "AI Law Framework"
id: "A9"
task_count: 34
last_reviewed: "2026-10-10"
---

# Residential Conveyancing & Property

> Treat title, identity, money and settlement dates as separate verification points. Compare extracted contract details with current searches and the signed documents before acting on a transaction.

Canonical page: https://ailawframework.com/practice/residential-conveyancing-and-property  
Last reviewed: 2026-10-10

Site index for agents: https://ailawframework.com/llms.txt

Also covers: Property conveyancing, residential property transactions, property settlement, conveyancing law

Residential conveyancing is a high-volume, deadline-driven practice governed by a dense, jurisdiction-fragmented mesh of state statute, standard-form contracts, and electronic-settlement platform rules (PEXA/Sympli). The AI risk profile is asymmetric: many discrete subtasks (data extraction, checklist generation, correspondence drafting) are suited to AI assistance, but hallucination or date/authority errors at key junctures — wrong cooling-off period, missed ATO withholding obligation, defective vendor disclosure, incorrect FIRB or ban status — cause client loss of deposit, rescission rights, ATO liability, or penalty exposure with no practical remedy after settlement. The 1 April 2025 ban on foreign persons purchasing established dwellings adds a categorical FIRB trap that AI is likely to miss or misapply.

## Key facts

- Tasks: 34
- Green: 6, Yellow: 21, Red: 7
- Levels: Green is AI drafts and the lawyer checks; Yellow is lawyer and AI draft together; Red is the lawyer writes and AI may only check, clarify or collect data.

## Principles

- **Start with the property and jurisdiction**: Choose the state or territory and transaction type before selecting forms or rules. Work from current title and disclosure documents, the actual contract version and the client’s confirmed instructions.
- **Use AI to reconcile documents**: Useful outputs are missing-document lists, matching tables and a draft settlement action list. Independently resolve identity, authority, money movements, statutory disclosures and tax treatment before acting.
- **Keep the record small**: Retain the checked schedule and the exceptions that changed your advice. A short file reference to the source documents is usually more useful than repeating each document in several forms.

## Checklist

- Trace every relied-on figure to its source, confirm dates and assumptions, and independently recalculate totals or derived amounts.
- Calculate operative dates independently from the current rule and actual triggering event. Check exceptions and record the verified deadline.
- Review operative clauses in the complete document, including definitions, cross-references, schedules and inconsistencies with the instructions.
- Confirm that the wording reflects the client’s instructions and contains no unintended admission, concession or commitment. Check the recipient and tone.
- Confirm that the actual tool, feature and processing terms permit use of this information, including access, retention, training and disclosure conditions.
- Obtain and inspect the relevant current official register or search result. Confirm identities, interests and the date and scope of the search.
- Review the original source set for relevant material absent from the output, including contrary evidence, qualifications and unresolved gaps.
- Verify the applicable jurisdiction and the version of each relevant law, rule or instrument in force at the material time.
- Resolve exceptions and record the responsible lawyer’s approval of the exact output and intended use.

## Restrictions

- Confirm firm, client and applicable court or professional restrictions before using any AI feature.

## Jurisdiction note

Apply this guidance to the actual matter and jurisdiction. Confirm current requirements before relying on an example.

## Basis

Suggested practical workflows informed by current primary and professional sources. Confirm each source’s jurisdiction and scope.

## Current requirements

Start with the property and jurisdiction. Choose the state or territory and transaction type before selecting forms or rules. Work from current title and disclosure documents, the actual contract version and the client’s confirmed instructions.

## Current requirements

Use AI to reconcile documents. Useful outputs are missing-document lists, matching tables and a draft settlement action list. Independently resolve identity, authority, money movements, statutory disclosures and tax treatment before acting.

## Current requirements

Keep the record small. Retain the checked schedule and the exceptions that changed your advice. A short file reference to the source documents is usually more useful than repeating each document in several forms.

Also covers: Property conveyancing, residential property transactions, property settlement, conveyancing law

Residential conveyancing is a high-volume, deadline-driven practice governed by a dense, jurisdiction-fragmented mesh of state statute, standard-form contracts, and electronic-settlement platform rules (PEXA/Sympli). The AI risk profile is asymmetric: many discrete subtasks (data extraction, checklist generation, correspondence drafting) are suited to AI assistance, but hallucination or date/authority errors at key junctures — wrong cooling-off period, missed ATO withholding obligation, defective vendor disclosure, incorrect FIRB or ban status — cause client loss of deposit, rescission rights, ATO liability, or penalty exposure with no practical remedy after settlement. The 1 April 2025 ban on foreign persons purchasing established dwellings adds a categorical FIRB trap that AI is likely to miss or misapply.

## Limits on AI assistance

Red lines — never in this area

## Limits on AI assistance

AI must not generate or finalise any document that is a statutory instrument or legally operative in itself — vendor disclosure statements (s.32 Vic, Form 1 SA), s.66W waiver certificates, rescission notices, transfer instruments — without the lawyer independently compiling and verifying every element from primary sources. AI must not calculate stamp/transfer duty, foreign surcharge duty, or FIRB application fees that will be communicated to a client or lodged with a revenue authority — rates change with state budgets and annual indexation and AI training data will be stale. AI must not assess FIRB obligation status (required/not required, ban applies/does not apply, fee amount) for a foreign purchaser without the lawyer verifying current Treasury FIRB guidance — the foreign established dwelling purchase ban (1 April 2025–30 June 2029) and annually indexed fee schedule are a particular hallucination risk. AI must not determine whether the ATO Foreign Resident Capital Gains Withholding (FRCGW) obligation applies, or confirm the validity or currency of a vendor's ATO clearance certificate — failure to withhold 15% of the purchase price at settlement where no valid certificate is produced exposes the purchaser's lawyer to ATO penalty liability. AI must not be the sole source of a cooling-off period duration, waiver deadline, or notice requirement for any jurisdiction — these are jurisdiction-specific (NSW 5 business days, Vic 3 clear business days, QLD 5 business days, SA 2 clear business days, WA/Tas no statutory right) and are frequently confused by AI across states. AI must not confirm or advise on the currency or adequacy of a title search — a title search must be freshly ordered from the Titles Office at the appropriate time and interpreted by the lawyer. AI must not be used to verify bank account details for PEXA settlement disbursements — Business Email Compromise is the leading fraud vector in Australian conveyancing and AI-generated or AI-validated account details must never be relied on. AI must not draft or advise on the GST margin scheme election or GST treatment of a residential property supply without independent tax specialist review. AI must not generate the firm's AML/CTF program or make a final risk-tier or suspicious-matter determination for a client under the Tranche 2 regime — these determinations require a qualified compliance officer applying current AUSTRAC rules. Client confidential information (property address, client identity, contract terms, financial details) must not be entered into a public or unvetted large language model — input into PEXA-integrated or matter-management AI that has a data processing agreement and verified Australian data residency is the minimum standard.

- AI must not generate or finalise any document that is a statutory instrument or legally operative in itself — vendor disclosure statements (s.32 Vic, Form 1 SA), s.66W waiver certificates, rescission notices, transfer instruments — without the lawyer independently compiling and verifying every element from primary sources.
- AI must not calculate stamp/transfer duty, foreign surcharge duty, or FIRB application fees that will be communicated to a client or lodged with a revenue authority — rates change with state budgets and annual indexation and AI training data will be stale.
- AI must not assess FIRB obligation status (required/not required, ban applies/does not apply, fee amount) for a foreign purchaser without the lawyer verifying current Treasury FIRB guidance — the foreign established dwelling purchase ban (1 April 2025–30 June 2029) and annually indexed fee schedule are a particular hallucination risk.
- AI must not determine whether the ATO Foreign Resident Capital Gains Withholding (FRCGW) obligation applies, or confirm the validity or currency of a vendor's ATO clearance certificate — failure to withhold 15% of the purchase price at settlement where no valid certificate is produced exposes the purchaser's lawyer to ATO penalty liability.
- AI must not be the sole source of a cooling-off period duration, waiver deadline, or notice requirement for any jurisdiction — these are jurisdiction-specific (NSW 5 business days, Vic 3 clear business days, QLD 5 business days, SA 2 clear business days, WA/Tas no statutory right) and are frequently confused by AI across states.
- AI must not confirm or advise on the currency or adequacy of a title search — a title search must be freshly ordered from the Titles Office at the appropriate time and interpreted by the lawyer.
- AI must not be used to verify bank account details for PEXA settlement disbursements — Business Email Compromise is the leading fraud vector in Australian conveyancing and AI-generated or AI-validated account details must never be relied on.
- AI must not draft or advise on the GST margin scheme election or GST treatment of a residential property supply without independent tax specialist review.
- AI must not generate the firm's AML/CTF program or make a final risk-tier or suspicious-matter determination for a client under the Tranche 2 regime — these determinations require a qualified compliance officer applying current AUSTRAC rules.
- Client confidential information (property address, client identity, contract terms, financial details) must not be entered into a public or unvetted large language model — input into PEXA-integrated or matter-management AI that has a data processing agreement and verified Australian data residency is the minimum standard.

## Jurisdiction-specific considerations

Australian traps

## Jurisdiction-specific considerations

Jurisdiction fragmentation is the single greatest AI failure risk: each state has distinct statutory forms, cooling-off periods, duty timing, disclosure requirements, and title register systems. General-purpose AI conflates these constantly. A policy must require lawyers to specify the state in every AI prompt and to verify jurisdiction-specific outputs against the originating state statute. Foreign established dwelling ban (1 April 2025–30 June 2029): Foreign persons are prohibited from purchasing established dwellings under the Foreign Acquisitions and Takeovers Act 1975 (Cth) as amended, with narrow exceptions. AI trained before mid-2025 will not know this ban exists and will advise a foreign client to apply for FIRB approval — the correct position is that the purchase is prohibited. Lawyers acting for foreign purchasers of established dwellings must verify current Treasury FIRB guidance before any contract is exchanged. ATO Foreign Resident Capital Gains Withholding (FRCGW): For any residential property transaction at or above all property sales (the $750,000 threshold was removed), the vendor must provide a valid ATO clearance certificate by settlement or the purchaser must withhold 15% of the purchase price and remit to the ATO. The clearance certificate application should be lodged at least 28 days before settlement. This is a federal obligation independent of state duty, title, and FIRB requirements, and is frequently omitted from AI-generated conveyancing checklists. Vendor disclosure documents are jurisdiction-specific statutory obligations with severe consequences for defects: Vic s.32 Sale of Land Act 1962 (buyer may rescind at any time before settlement if defective); SA Form 1 Land and Business (Sale and Conveyancing) Act 1994 (triggers cooling-off); NSW Contract Particulars under Conveyancing Act 1919. AI must never be the source of truth for which items are mandatory in a given jurisdiction. Cooling-off periods and waiver forms vary and are strictly enforced: NSW 5 business days (Conveyancing Act 1919 s.66S), s.66W waiver may be signed by the buyer's solicitor, barrister, OR licensed conveyancer — it is incorrect to state only a solicitor can sign; Vic 3 clear business days (Sale of Land Act 1962 s.31, commencing the first business day after the buyer signs); QLD 5 business days (day of receipt counted); SA 2 clear business days; ACT 5 business days; WA and Tas have no statutory cooling-off right for residential sales. AI errors here are binary. Stamp/transfer duty rates and concessions are state-administered and frequently amended. Each of the eight jurisdictions has its own Duties Act and foreign purchaser surcharge (NSW 8%, Vic 8%, QLD 7%, SA 7%) — rates change in state budgets. NSW introduced an uncapped transfer-duty exemption for first-home buyers of new homes and vacant land from 1 May 2025; NSW thresholds for other concessions now index annually from 1 July 2025. Duty advice must always be verified on the current state revenue office website on the date advice is given. Queensland 'time is of the essence': settlement date is an essential term under the standard REIQ contract; failure to settle on the agreed date entitles the seller to terminate, forfeit the deposit, and claim damages. Risk of loss passes to the buyer at 5pm on the first business day after the contract date — buyers must arrange insurance immediately, not at settlement. AI may not flag these QLD-specific rules in a mixed-state practice. PEXA mandatory electronic conveyancing: NSW, VIC, SA, WA, and QLD require eligible transactions to settle electronically through an ECNL-registered platform (PEXA dominant; Sympli has limited adoption). AI-generated settlement instructions referencing physical cheques or bank transfers may be non-compliant. Note: ARNECC suspended the interoperability program in 2026, so PEXA remains the effective sole platform for most transactions. AML/CTF Tranche 2: From 1 July 2026, residential property lawyers and licensed conveyancers are AUSTRAC reporting entities under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (Cth). Enrolment with AUSTRAC opened 31 March 2026. AI-generated customer due diligence workflows must be reviewed against AUSTRAC's published rules — this is an active transition period and AI trained before mid-2025 will have no reliable knowledge of the final Tranche 2 requirements. Murray v State of Victoria [2025] FCA 731: Justice Murphy imposed indemnity costs against Massar Briggs Law after fabricated AI-generated footnotes were filed in the Federal Court. Murray is now a live disciplinary precedent elevating the professional-conduct stakes of insufficient AI verification. The VLSB+C cited this case in practice guidance. Separately, the Law Society NSW, VLSB+C, and Legal Practice Board WA December 2024 joint statement, and the Law Institute of Victoria August 2025 ethical guidelines, are the current baseline conduct standards: both prohibit inputting confidential information into public LLMs and require independent verification of all AI output. Vacant Residential Land Tax (Vic, expanded from 2025 land tax year): applies to all Victorian homes vacant for more than six months of the calendar year. Combined with state foreign owner surcharges (NSW: 4% surcharge land tax; Vic: 4% Absentee Owner Surcharge; Tas: 2% FILTS; ACT: 0.75%), the tax obligations for foreign purchasers of new dwellings are complex and multi-layered. AI will rarely correctly identify all applicable state tax obligations for a foreign purchaser.

- Jurisdiction fragmentation is the single greatest AI failure risk: each state has distinct statutory forms, cooling-off periods, duty timing, disclosure requirements, and title register systems. General-purpose AI conflates these constantly. A policy must require lawyers to specify the state in every AI prompt and to verify jurisdiction-specific outputs against the originating state statute.
- Foreign established dwelling ban (1 April 2025–30 June 2029): Foreign persons are prohibited from purchasing established dwellings under the Foreign Acquisitions and Takeovers Act 1975 (Cth) as amended, with narrow exceptions. AI trained before mid-2025 will not know this ban exists and will advise a foreign client to apply for FIRB approval — the correct position is that the purchase is prohibited. Lawyers acting for foreign purchasers of established dwellings must verify current Treasury FIRB guidance before any contract is exchanged.
- ATO Foreign Resident Capital Gains Withholding (FRCGW): For any residential property transaction at or above all property sales (the $750,000 threshold was removed), the vendor must provide a valid ATO clearance certificate by settlement or the purchaser must withhold 15% of the purchase price and remit to the ATO. The clearance certificate application should be lodged at least 28 days before settlement. This is a federal obligation independent of state duty, title, and FIRB requirements, and is frequently omitted from AI-generated conveyancing checklists.
- Vendor disclosure documents are jurisdiction-specific statutory obligations with severe consequences for defects: Vic s.32 Sale of Land Act 1962 (buyer may rescind at any time before settlement if defective); SA Form 1 Land and Business (Sale and Conveyancing) Act 1994 (triggers cooling-off); NSW Contract Particulars under Conveyancing Act 1919. AI must never be the source of truth for which items are mandatory in a given jurisdiction.
- Cooling-off periods and waiver forms vary and are strictly enforced: NSW 5 business days (Conveyancing Act 1919 s.66S), s.66W waiver may be signed by the buyer's solicitor, barrister, OR licensed conveyancer — it is incorrect to state only a solicitor can sign; Vic 3 clear business days (Sale of Land Act 1962 s.31, commencing the first business day after the buyer signs); QLD 5 business days (day of receipt counted); SA 2 clear business days; ACT 5 business days; WA and Tas have no statutory cooling-off right for residential sales. AI errors here are binary.
- Stamp/transfer duty rates and concessions are state-administered and frequently amended. Each of the eight jurisdictions has its own Duties Act and foreign purchaser surcharge (NSW 8%, Vic 8%, QLD 7%, SA 7%) — rates change in state budgets. NSW introduced an uncapped transfer-duty exemption for first-home buyers of new homes and vacant land from 1 May 2025; NSW thresholds for other concessions now index annually from 1 July 2025. Duty advice must always be verified on the current state revenue office website on the date advice is given.
- Queensland 'time is of the essence': settlement date is an essential term under the standard REIQ contract; failure to settle on the agreed date entitles the seller to terminate, forfeit the deposit, and claim damages. Risk of loss passes to the buyer at 5pm on the first business day after the contract date — buyers must arrange insurance immediately, not at settlement. AI may not flag these QLD-specific rules in a mixed-state practice.
- PEXA mandatory electronic conveyancing: NSW, VIC, SA, WA, and QLD require eligible transactions to settle electronically through an ECNL-registered platform (PEXA dominant; Sympli has limited adoption). AI-generated settlement instructions referencing physical cheques or bank transfers may be non-compliant. Note: ARNECC suspended the interoperability program in 2026, so PEXA remains the effective sole platform for most transactions.
- AML/CTF Tranche 2: From 1 July 2026, residential property lawyers and licensed conveyancers are AUSTRAC reporting entities under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (Cth). Enrolment with AUSTRAC opened 31 March 2026. AI-generated customer due diligence workflows must be reviewed against AUSTRAC's published rules — this is an active transition period and AI trained before mid-2025 will have no reliable knowledge of the final Tranche 2 requirements.
- Murray v State of Victoria [2025] FCA 731: Justice Murphy imposed indemnity costs against Massar Briggs Law after fabricated AI-generated footnotes were filed in the Federal Court. Murray is now a live disciplinary precedent elevating the professional-conduct stakes of insufficient AI verification. The VLSB+C cited this case in practice guidance. Separately, the Law Society NSW, VLSB+C, and Legal Practice Board WA December 2024 joint statement, and the Law Institute of Victoria August 2025 ethical guidelines, are the current baseline conduct standards: both prohibit inputting confidential information into public LLMs and require independent verification of all AI output.
- Vacant Residential Land Tax (Vic, expanded from 2025 land tax year): applies to all Victorian homes vacant for more than six months of the calendar year. Combined with state foreign owner surcharges (NSW: 4% surcharge land tax; Vic: 4% Absentee Owner Surcharge; Tas: 2% FILTS; ACT: 0.75%), the tax obligations for foreign purchasers of new dwellings are complex and multi-layered. AI will rarely correctly identify all applicable state tax obligations for a foreign purchaser.

## Risks to address

How it goes wrong

## Risks to address

Wrong cooling-off period or deadline: AI states 5 business days when the transaction is in Victoria (3 clear business days starting the first business day after signing) or applies the wrong rule for an auction sale (no cooling-off); client misses the right or lawyer fails to waive correctly. FRCGW withholding omission: AI fails to flag that the vendor must provide an ATO clearance certificate for a transaction at or above $750,000; purchaser's lawyer does not withhold 12.5% at settlement and faces ATO penalty liability; or vendor's lawyer fails to obtain a clearance certificate in time (must be applied for at least 28 days before settlement). Foreign established dwelling ban misapplied: AI advises a foreign person that FIRB approval is required for an established dwelling purchase (the pre-April 2025 position) without recognising the purchase is now prohibited outright until 30 June 2029; client proceeds on an illegal transaction. Hallucinated FIRB fee or exemption: AI quotes a fee figure from pre-2024 training data (e.g., $6,600 — now obsolete; established dwelling fees tripled from 9 April 2024 to a minimum of $42,300) or characterises a foreign purchaser as exempt when approval or ban applies. Hallucinated stamp duty rate or concession: AI quotes an outdated first-home buyer threshold (NSW, Vic, QLD schemes changed multiple times 2022-2025; NSW introduced uncapped new home exemption from 1 May 2025) causing client to underpay duty and incur OSR penalty interest, or to overpay. Defective vendor disclosure: AI omits a required item from s.32 (Vic) or Form 1 (SA) because its training data reflects an older version of the disclosure requirements, giving the buyer a rescission right the vendor did not intend to grant.

- Wrong cooling-off period or deadline: AI states 5 business days when the transaction is in Victoria (3 clear business days starting the first business day after signing) or applies the wrong rule for an auction sale (no cooling-off); client misses the right or lawyer fails to waive correctly.
- FRCGW withholding omission: AI fails to flag that the vendor must provide an ATO clearance certificate for a transaction at or above $750,000; purchaser's lawyer does not withhold 12.5% at settlement and faces ATO penalty liability; or vendor's lawyer fails to obtain a clearance certificate in time (must be applied for at least 28 days before settlement).
- Foreign established dwelling ban misapplied: AI advises a foreign person that FIRB approval is required for an established dwelling purchase (the pre-April 2025 position) without recognising the purchase is now prohibited outright until 30 June 2029; client proceeds on an illegal transaction.
- Hallucinated FIRB fee or exemption: AI quotes a fee figure from pre-2024 training data (e.g., $6,600 — now obsolete; established dwelling fees tripled from 9 April 2024 to a minimum of $42,300) or characterises a foreign purchaser as exempt when approval or ban applies.
- Hallucinated stamp duty rate or concession: AI quotes an outdated first-home buyer threshold (NSW, Vic, QLD schemes changed multiple times 2022-2025; NSW introduced uncapped new home exemption from 1 May 2025) causing client to underpay duty and incur OSR penalty interest, or to overpay.
- Defective vendor disclosure: AI omits a required item from s.32 (Vic) or Form 1 (SA) because its training data reflects an older version of the disclosure requirements, giving the buyer a rescission right the vendor did not intend to grant.

## Review checklist

The lawyer's review checklist

## Review checklist

Jurisdiction lock-in: confirm the AI prompt specified the correct state and that all statutory references, forms, cooling-off periods, and duty rates in the output are specific to that state — strike through or delete any reference that is cross-jurisdictional or generic. Date and deadline audit: manually extract every date in the AI output (settlement date, finance clause, cooling-off expiry, deposit due, duty lodgement deadline, FRCGW clearance certificate deadline, title search currency) and verify each against the signed contract and the relevant state statute. FRCGW check: confirm whether the purchase price is at or above $750,000; if so, confirm the vendor's ATO clearance certificate has been obtained, is current (12-month validity), and is in hand before settlement — if not, advise the purchaser's lawyer to withhold 12.5%. Statutory form completeness: for any vendor disclosure document or waiver certificate produced or populated by AI, tick off every mandatory disclosure item against the current statutory checklist for the jurisdiction — do not rely on the AI's checklist itself. FIRB and ban status: for any transaction involving a foreign person, confirm whether the purchase is an established dwelling (prohibited 1 April 2025–30 June 2029 with narrow exceptions) or a new dwelling/vacant land (FIRB approval required, current fee verified from FIRB Guidance Note 10 on the Treasury website — not an AI-generated figure). Duty and state tax figures: any duty amount, concession amount, foreign surcharge, or state land tax position generated by AI must be cross-checked against the current state revenue office calculator and, for foreign purchasers, each applicable state's foreign owner surcharge and VRLT rules before communicating to client or lodging. Bank account details isolation: confirm that no AI-generated correspondence contains or references settlement bank account details — all payment directions must come from a verified, out-of-band source per PEXA's fraud prevention requirements and ACSC guidance. Confidentiality screen and cross-matter contamination: (a) confirm the AI tool used is on the firm's approved vendor list with a data processing agreement and verified Australian data residency; (b) confirm client name, property address, solicitor name, and matter number in any AI-drafted document match the current matter — not a prior matter used as reference input.

- Jurisdiction lock-in: confirm the AI prompt specified the correct state and that all statutory references, forms, cooling-off periods, and duty rates in the output are specific to that state — strike through or delete any reference that is cross-jurisdictional or generic.
- Date and deadline audit: manually extract every date in the AI output (settlement date, finance clause, cooling-off expiry, deposit due, duty lodgement deadline, FRCGW clearance certificate deadline, title search currency) and verify each against the signed contract and the relevant state statute.
- FRCGW check: confirm whether the purchase price is at or above $750,000; if so, confirm the vendor's ATO clearance certificate has been obtained, is current (12-month validity), and is in hand before settlement — if not, advise the purchaser's lawyer to withhold 12.5%.
- Statutory form completeness: for any vendor disclosure document or waiver certificate produced or populated by AI, tick off every mandatory disclosure item against the current statutory checklist for the jurisdiction — do not rely on the AI's checklist itself.
- FIRB and ban status: for any transaction involving a foreign person, confirm whether the purchase is an established dwelling (prohibited 1 April 2025–30 June 2029 with narrow exceptions) or a new dwelling/vacant land (FIRB approval required, current fee verified from FIRB Guidance Note 10 on the Treasury website — not an AI-generated figure).
- Duty and state tax figures: any duty amount, concession amount, foreign surcharge, or state land tax position generated by AI must be cross-checked against the current state revenue office calculator and, for foreign purchasers, each applicable state's foreign owner surcharge and VRLT rules before communicating to client or lodging.
- Bank account details isolation: confirm that no AI-generated correspondence contains or references settlement bank account details — all payment directions must come from a verified, out-of-band source per PEXA's fraud prevention requirements and ACSC guidance.
- Confidentiality screen and cross-matter contamination: (a) confirm the AI tool used is on the firm's approved vendor list with a data processing agreement and verified Australian data residency; (b) confirm client name, property address, solicitor name, and matter number in any AI-drafted document match the current matter — not a prior matter used as reference input.

## Tasks (34)

| Task | Level | How AI is used | What the lawyer must review |
| --- | --- | --- | --- |
| [Find gaps in the seller disclosure pack](https://ailawframework.com/practice/residential-conveyancing-and-property/find-gaps-in-the-seller-disclosure-pack.md) | Yellow | Compare the draft seller-disclosure pack and attachments with a lawyer-selected current checklist; produce a missing-item table with document references. | Decide whether the disclosure scheme and any exception apply Confirm required certificates and the delivery process before the buyer signs |
| [Match clearance certificates to the property sellers](https://ailawframework.com/practice/residential-conveyancing-and-property/match-clearance-certificates-to-the-property-sellers.md) | Yellow | Extract each seller’s name and the certificate validity dates into a comparison table; identify absent or mismatched certificates. | Verify certificate identity and validity against the transaction Determine withholding or variation treatment Confirm the settlement figures independently |
| [Prepare a right-to-deal evidence map](https://ailawframework.com/practice/residential-conveyancing-and-property/prepare-a-right-to-deal-evidence-map.md) | Red | Index permitted identity, title and authority records and show how they relate to the proposed transaction; flag inconsistent names or roles. | Have the subscriber or authorised practitioner verify identity, authority and right to deal Apply local rules; AI does not do that verification |
| [Review the contract of sale and draft the buyer's issues report](https://ailawframework.com/practice/residential-conveyancing-and-property/review-the-contract-of-sale-and-draft-the-buyer-s-issues-report.md) | Yellow | Extract special conditions, title notifications, encumbrances and onerous clauses into a buyer's report with clause references and a list of searches still… | Advise on risk against the actual title, searches and client instructions Do not send a generated report as advice |
| [Prepare the seller disclosure statement from the searches](https://ailawframework.com/practice/residential-conveyancing-and-property/prepare-the-seller-disclosure-statement-from-the-searches.md) | Red | Against the prescribed items of the applicable disclosure form, the tool indexes what the searches and certificates on file actually cover — title search and… | The lawyer compiles and writes every disclosure item personally from the primary search or certificate, then checks their own statement item by item against… |
| Analyse the title search and list encumbrances and deal-stoppers | Yellow | From the title and plan, list mortgages, caveats, easements, covenants and restrictions, and flag items that need a discharge, consent or special condition. | Read the instruments, not the search summary Confirm current title with a search the firm ordered |
| [Prepare the transfer-duty calculation inputs and lodgement or filing checklist](https://ailawframework.com/practice/residential-conveyancing-and-property/prepare-the-transfer-duty-calculation-inputs-and-lodgement-or-filing-che.md) | Red | From the contract and concession facts, list duty inputs, concession categories to test and lodgement steps. Do not output a payable figure as advice. | Use the official revenue calculator on the calculation date Check current rates, foreign-purchaser surcharges and concessions Never lodge or file a generated… |
| [Screen the buyer for foreign-investment or overseas-ownership consent](https://ailawframework.com/practice/residential-conveyancing-and-property/screen-the-buyer-for-foreign-investment-or-overseas-ownership-consent.md) | Red | From the buyer facts on the file, draft a foreign-investment screening note: who may be a foreign person, what is being acquired, and documents still needed. | Apply the current foreign-investment rules, including any restriction for this property type Get it right; an error can void the contract |
| Draft special conditions and contract amendments | Yellow | From the issues report and instructions, draft special conditions, annexures and a marked-up standard form. | Check interaction with the printed form Check the condition is operable: who, by when, with what consequence |
| [Build the pre-settlement checklist and adjustment worksheet](https://ailawframework.com/practice/residential-conveyancing-and-property/build-the-pre-settlement-checklist-and-adjustment-worksheet.md) | Yellow | Build a pre-settlement checklist and adjustment worksheet from the contract, certificates and figures on the file, flagging missing discharges and identity… | Verify adjustments against authority certificates Confirm bank details out of band Keep identity verification and electronic-workspace roles with the firm |
| [Draft cooling-off, waiver or rescission notices from the contract](https://ailawframework.com/practice/residential-conveyancing-and-property/draft-cooling-off-waiver-or-rescission-notices-from-the-contract.md) | Red | Extract the cooling-off, waiver and rescission provisions from the executed contract together with the signing date, the date the buyer received the signed… | The lawyer writes the notice and any waiver certificate. Confirm the current cooling-off and rescission provisions for this property and this jurisdiction… |
| Draft the client report: offer advice, pre-contract and post-settlement | Yellow | Turn the issues list, searches and dates into a client reporting letter with outstanding items and a settlement timetable. | Give the advice in the letter yourself Check names, title references and dates against the file |
| Review an off-the-plan contract for sunset, registration and variation risk | Yellow | Extract sunset date, plan-registration mechanics, variation rights, deposit treatment and tax clauses into an issues table. | Advise against the current off-the-plan rules in the property's jurisdiction Check sunset and variation clauses closely; they are high-stakes |
| Review the owners-corporation, body-corporate or association file | Yellow | From the owners-corporation, body-corporate or association search, list levies, special levies, by-laws, proceedings and known defects with document references. | Read the minutes and notices Do not treat a summary as the search |
| Extract tenancy details that will sit on title at settlement | Yellow | From the lease and disclosure, table rent, term, options, bond, arrears and any notice already given. | Confirm whether the sale is subject to tenancy Confirm what notices the contract requires |
| Compare the transfer and mortgage drafts to the contract names and title | Yellow | Compare transferee names, tenancy, consideration and title reference across contract, transfer, mortgage and identification documents; list mismatches. | Resolve every name mismatch; one stops settlement Confirm identity and capacity from the firm's own identity and KYC checks, not the table |
| Check a contract of sale against searches before exchange | Green | Compare vendor disclosure, title and planning searches into a mismatch table. | Resolve each mismatch; advise the client. |
| Use an AI conveyancing contract-review tool safely | Yellow | Record tool, inputs and outputs; spot-check flagged clauses. | Confirm confidentiality settings; client data in third-party tools needs checking. |
| Run an AI contract review on a NSW or Vic residential contract | Yellow | Use a conveyancing contract-review tool to flag special conditions. | Lawyer reviews flagged and unflagged clauses. |
| Compare a contract against the client's purchase instructions | Green | Flag mismatches in price, deposit, inclusions and dates. | Lawyer confirms. |
| Draft a plain-English contract summary for a first-home buyer | Yellow | Summarise key terms and cooling-off rights. | Lawyer checks and adds advice. |
| Summarise strata or owners-corporation records for a purchaser | Green | Extract levies, works and disputes from records. | Verify against the records. |
| Prepare settlement adjustments draft | Yellow | Draft rates and levies adjustments from notices. | Conveyancer checks calculations. |
| Comply with NSW Local Court GenAI restrictions in conveyancing disputes | Green | Check documents for compliance. | Lawyer confirms. |
| Explain to clients how the firm uses AI in conveyancing | Green | Draft a transparency statement. | Principal approves. |
| Review a vendor disclosure statement with AI | Yellow | Flag missing items. | Lawyer verifies. |
| Work out NSW transfer duty from the contract price on the Revenue NSW transfer duty page | Yellow | Set out the contract price and the duty steps for the lawyer to complete from the current page. | Read the current transfer duty page and use only a rate and threshold that page shows. |
| Work out Victorian land transfer duty from the contract price on the State Revenue Office page | Yellow | Set out the contract price and the duty steps for the lawyer to complete from the current page. | Read the current land transfer duty page and use only a rate and threshold that page shows. |
| Draft the purchaser's affidavit on a vendor and purchaser summons in the Supreme Court of New South Wales | Red | Do not generate the affidavit. List the contract, requisitions and notices the deponent will exhibit. | Take the affidavit in the purchaser's own account and disclose that generative AI did not generate its content. |
| Prepare a chronology of the contract, requisitions and notices for a specific performance claim in the Supreme Court of New South Wales | Green | List dates and documents from the contract file into a chronology. | Check every date against the contract file before the chronology is used. |
| Draft the plaintiff's affidavit in a specific performance claim in the Supreme Court of Victoria | Yellow | Produce a draft affidavit from the contract and the plaintiff's instructions for the lawyer to verify. | A person verifies every fact. Asking one artificial intelligence tool to confirm what another produced is not verification.… |
| Draft written submissions on a caveat removal application in the Supreme Court of Victoria | Yellow | Draft submissions from the caveat and the authorities the lawyer has opened. | Confirm each case and statute exists and stands for the proposition. Asking one artificial intelligence tool to confirm what another produced is not… |
| Draft the purchaser's affidavit in a Local Court of New South Wales claim for return of a deposit | Red | Do not generate the affidavit. List the contract and the deposit receipt the deponent will exhibit. | Take the affidavit in the purchaser's own account. The Local Court note adopts SC Gen 23. |
| [Set the guardrails before AI is used on a Queensland conveyance](https://ailawframework.com/practice/residential-conveyancing-and-property/set-the-guardrails-before-ai-is-used-on-a-queensland-conveyance.md) | Yellow | Summarise a contract or disclosure pack only after the practice has decided the tool is approved for that file. | Queensland Law Society Guidance Statement No. 37, published 31 May 2024, has no statutory effect.… |

## Jurisdiction notes

### New Zealand

Local name: Residential conveyancing (Land Transfer Act 2017 / Landonline e-dealing)

#### Title and e-dealing

Land Transfer Act 2017. Instruments are certified and signed in Landonline. There is no PEXA workspace.

#### Certifier's duty

You are responsible for certifications under s 27. The Registrar may revoke authority under s 29 for a fraudulent or materially incorrect certificate, or if s 30 evidence is not held.

#### LINZ standards

Authority and Identity Requirements for E-Dealing Standard 2024; Statutory and Evidentiary Requirements for E-Dealing Standard 2025. A breach can also engage Client Care r 2.5.

#### Not Australian law

No Victorian s 32 vendor statement, no NSW s 66W cooling-off and no ATO foreign-resident withholding certificate.

#### Buyers and money

Overseas buyers: Overseas Investment Act 2005. Client money: lawyers' trust account under the Trust Account Regulations 2008.

- Do not let a tool certify or sign a Landonline instrument. The certifying practitioner is personally responsible under s 27 of the Land Transfer Act 2017.
- Do not let a tool authorise a trust-account payment or complete a CDD or suspicious-activity decision.

Sources:

- [Land Transfer Act 2017](https://www.legislation.govt.nz/act/public/2017/0030/latest/whole.html) (checked 2026-09-23)
- [LINZ: certify and sign](https://www.linz.govt.nz/guidance/land-registration/land-registration-guide/certify-and-sign) (checked 2026-09-23)
- [Overseas Investment Act 2005](https://www.legislation.govt.nz/act/public/2005/0082/latest/DLM356881.html) (checked 2026-09-23)
- [NZLS: trust account management](https://www.lawsociety.org.nz/professional-practice/legal-practice/trust-account-management/) (checked 2026-09-23)
- [Lawyers and Conveyancers Act (Trust Account) Regulations 2008](https://www.legislation.govt.nz/secondary-legislation/pco-drafted/2008/183/en/latest/) (checked 2026-09-23)
- [Lawyers and Conveyancers Act (Lawyers: Conduct and Client Care) Rules 2008](https://www.legislation.govt.nz/secondary-legislation/pco-drafted/2008/214/en/latest/) (checked 2026-09-23)

### United States

Local name: Residential real estate conveyancing

#### State law

State law governs this work. Check the statutes, court rules and conduct rules of the state where the matter is. Do not import an Australian statute, form or court AI practice note.

#### Closing systems

Recording, disclosure, transfer tax and closing are state and county systems. No national PEXA analogue and no FIRB clearance as such.

#### Confidentiality

Formal Opinion 512 and Rule 1.6 govern any tool that sees contracts, title work or identity documents.

Sources:

- [ABA Formal Opinion 512, Generative Artificial Intelligence Tools (29 July 2024)](https://www.americanbar.org/content/dam/aba/administrative/professional_responsibility/ethics-opinions/aba-formal-opinion-512.pdf) (checked 2026-09-23)
- [ABA Model Rule 1.6, Confidentiality of Information](https://www.americanbar.org/groups/professional_responsibility/publications/model_rules_of_professional_conduct/rule_1_6_confidentiality_of_information/) (checked 2026-09-23)

## Sources

- [Queensland Government: Seller disclosure scheme](https://www.qld.gov.au/housing/buying-owning-home/seller-disclosure-scheme) (checked 2026-09-16)
- [Australian Taxation Office: Australian residents and clearance certificates](https://www.ato.gov.au/individuals-and-families/investments-and-assets/capital-gains-tax/foreign-residents-and-capital-gains-tax/foreign-resident-capital-gains-withholding/australian-residents-and-clearance-certificates) (checked 2026-09-16)
- [ARNECC: Right to deal guidance, Version 7](https://www.arnecc.gov.au/wp-content/uploads/2024/08/MPRGUI4.pdf) (checked 2026-09-16)
- [ARNECC: Model Participation Rules guidance notes](https://www.arnecc.gov.au/publications/mpr_guidance_notes/) (checked 2026-09-16)

*Practice guidance for planning and review. Confirm current primary sources and the requirements of the actual matter. This is general information, not legal advice.*