A significant legal change is approaching that will affect anyone looking to sell property in Queensland.
From 1 August 2025, the new Seller Disclosure Statement under the Property Law Act 2023 (Qld) will come into effect. This reform introduces important new obligations for sellers of freehold real estate in Queensland.
What’s Changing?
Under the new laws, sellers of freehold land (with some exceptions) must provide buyers with a signed and completed Seller Disclosure Statement (Form 2) and a set of prescribed supporting documents before a contract or option is signed.
The Form 2 may be signed by the Seller or their duly authorised agent and may be signed electronically.
Please note: These changes do not apply to off-the-plan sales (e.g., unregistered land or proposed lots).
What Sellers Will Need to Provide:
If you are selling eligible property after 1 August 2025, you must provide:
- Form 2 – Seller Disclosure Statement
A prescribed form containing key information about the property. This must be completed, signed, and in the approved format. - All Required Supporting Documents
These may include a title search, registered survey plan, copies of orders about the property, unregistered interests, community management statement (CMS), and a new body corporate certificate (if applicable). These documents must be current and accurate at the time of disclosure.
What the Disclosure Doesn’t Cover:
Buyers are still expected to carry out their own investigations on all other matters not required to be disclosed under the new law, such as:
- Building and pest issues
- General planning information or historical information
- Flooding history (unless misrepresented)
- Asbestos or hazardous materials
- Utility connections and services
Key Implications for Property Sellers:
- Earlier Preparation Required: Sellers must gather certificates and complete searches earlier in the sales process than previously required. Some searches take time to obtain, so starting early is essential to avoid delays in contract execution
- No contracting out: The Buyer is not able to waive their rights to receive a compliant Seller Disclosure Statement (Form 2) and is unable to waive their right to terminate if the Form 2 is either not provided or inaccurate;
- Serious Consequences for Non-Compliance:
- Failure to provide a compliant disclosure can allow a buyer to terminate at any time before settlement.
- If the disclosure is inaccurate or incomplete and relates to a material matter, termination rights may also apply.
Our Advice to Clients:
This change marks a shift from a “buyer beware” approach to a seller disclosure model. If you’re considering selling property in Queensland, we recommend preparing early in the process to ensure full compliance and a smooth transaction.
Our property law team can assist with the following to reduce your risk of dispute or contract termination:
- Preparing the Seller Disclosure Statement (Form 2)
- Advising on what must be disclosed under the new law
- Obtaining all required searches and certificates
- Delivering disclosure documents to buyers in the correct format
- Supporting developers with off-the-plan sales following plan registration and advising regarding option agreements
Talk to Us
If you’re planning a property sale or have questions about how the new regime may affect you, we’re here to help. Contact our office to discuss your situation and get started on the right foot.
