Most property sellers think the buyer’s deposit simply sits in the real estate agent’s trust account until settlement. In most property transactions across New South Wales, that is exactly what happens. However, there are situations where those funds need to be brought into the electronic settlement process before settlement day.
When a buyer enters into a Contract for Sale, a deposit—usually 10% of the purchase price—is held in the selling agent’s trust account. The funds remain secure until they are released in accordance with the contract and settlement arrangements. While this system works smoothly for most transactions, more complex settlements often require additional planning.
One common example is a simultaneous settlement. This occurs when a seller uses the proceeds from the sale of their existing property to purchase another property on the same day. In these situations, the deposit held by the agent may need to form part of the settlement funds available through PEXA. Bringing those funds into the electronic workspace helps ensure sufficient funds are available to complete both transactions without delay.
When Deposit Funds May Need to Be Uploaded into PEXA
| Situation | Why It Matters |
| Simultaneous Sale and Purchase | Deposit funds may assist in funding the next property purchase |
| Mortgage Debt Exceeds Net Sale Proceeds | Additional funds may be required within the settlement workspace |
| Complex Settlement Structures | Funds may need to be available electronically for settlement to proceed |
| Multiple Linked Transactions | Helps coordinate the movement of funds between related settlements |
| Order on the Agent Required | Authorises the release of trust funds into the settlement process |
| PEXA Workspace Funding | Ensures all parties have access to the funds required for settlement |
Timing is critical from a seller’s perspective. When purchasing another property immediately after selling, even a minor funding issue can create delays across multiple transactions. Having deposit funds available within the electronic settlement workspace can provide greater flexibility and help keep both settlements aligned.
The release of trust account funds is typically managed through an “Order on the Agent” or through specific settlement instructions within PEXA. With careful planning between the seller, conveyancer, and real estate agent, the funds can be made available exactly when they are required.
Flash Conveyancing Advice
If you are selling and buying a property at the same time, inform your conveyancer as early as possible. Linked transactions require additional coordination, and early planning can help avoid settlement-day stress and unexpected funding issues.
At Flash Conveyancing, Julian and Renee understand that successful settlements are often won or lost behind the scenes. While buyers and sellers focus on moving day, they are busy coordinating deposit releases, lender requirements, PEXA funding arrangements and linked settlements to ensure everything comes together at the right moment. Drawing on extensive experience throughout Blacktown, Hawkesbury, the Blue Mountains, The Hills, Hornsby and Parramatta council areas, they help clients navigate even the most complex settlement structures with confidence. Whether you are buying, selling or transferring property in Acacia Gardens, Angus, Arndell Park, Blacktown, Colebee, Glendenning, Glenwood, Grantham Farm, Kellyville Ridge, Kings Langley, Marsden Park, Melonba, Oakhurst, Parklea, Quakers Hill, Riverstone, Schofields, Seven Hills, Stanhope Gardens, Tallawong, The Ponds, Baulkham Hills, Beaumont Hills, Bella Vista, Castle Hill, Kellyville, Kenthurst, North Rocks, Northmead, Rouse Hill, Vineyard, Windsor, Annangrove, Box Hill, Cattai, Dural, Gables, Galston, Glenhaven, Glenorie, Maraylya, Middle Dural, Nelson, North Kellyville, Norwest, Winston Hills, Sydney, Newcastle or Wollongong, Julian and Renee provide practical advice, personalised service and proactive settlement management. Their goal is simple: making sure every dollar is where it needs to be, exactly when it needs to be there, so settlement proceeds smoothly from start to finish.