The document discusses the introduction of the National Mortgage Form 2A (NMF) across Australian jurisdictions including Queensland. As of March 2nd 2018, any mortgages lodged for registration in Queensland must use the new NMF, except for those executed before this date using the old Form 2. The introduction of the NMF is part of a national initiative to standardize mortgages and accommodate e-conveyancing. Mortgagees must still comply with verification of identity requirements for mortgagors. The new NMF does not impact other land title dealings or registered standard mortgage terms. Advice is offered to practitioners to review documents in light of the changes.

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1 March 2018
Property Developments
Australian jurisdictions to align with New National Mortgage Form commencing 2 March 2018
The National Mortgage Form 2A (NMF) was introduced in
Queensland in May 2017. It is part of a national initiative to
standardise the content and presentation of mortgages
across Australia.
The Queensland Titles Office has accepted the new NMF
for lodgment since 29 May 2017. There is a transition
period during which the old Form 2 Mortgage can be used
which expires this Friday 2 March 2018. Any mortgages
lodged for registration after this period ends must (subject
to a limited exception) be prepared using the new NMF.
Why has the NMF been introduced?
In the last 18 months, there have been movements
across Australia towards accommodating e-settlements
and e-conveyancing.
In our ‘Sort your priorities out!’ Property Developments
article from 17 October 2017, we highlighted that
Settlement Notices were being replaced with Priority
Notices as part of the standardisation movement. The
introduction of the NMF is the next phase of this
movement in Queensland.
The exception to the rule
The Queensland Law Society has confirmed that the
Titles Office will accept Form 2 Mortgages after the
transition period expires if the Form 2 Mortgage is
executed before 2 March 2018.
Certification requirements
The Land Titles Act 1994 (Qld) imposes obligations on
mortgagees to verify the identity of their mortgagors.
This process is often referred to as a verification of
identity (VOI).
It is vital that mortgagors still comply with the VOI
requirements, as they continue to apply to any
mortgages that are prepared using the new NMF.
The Queensland Titles Office has given directions on
how to comply with the VOI requirements in its Land
Titles Practice Manual. These directions are consistent
with the VOI requirements for e-conveyancing in all
Australian jurisdictions.
Standard Terms
The introduction of the NMF does not affect other Land
Titles dealings, such as the memorandums of standard
mortgage terms that are already lodged with the Titles
Office.
The Queensland Law Society has recommended that
mortgagees and practitioners use the introduction of the
NMF as an opportunity to review their precedent
documents, and any standard term documents that are
registered with the Titles Office.
Further information
If you have any queries about how to complete the new
NMF or how the transition to the NMF may affect your
existing / proposed mortgages, we would be happy to
assist.
*Disclaimer
The information contained in this update is intended as a guide only. Professional advice should be
sought before applying any of the information to particular circumstances. While every reasonable
care has been taken in the preparation of this update, MinterEllison does not accept liability for any
errors it may contain.