Queensland’s Property Law Act 2023 (Qld) has officially come into effect, introducing sweeping reforms that reshape how property transactions are conducted across the state. The most significant change is the implementation of a new seller disclosure regime, combined with important updates to the standard contracts used in real estate transactions. For real estate agents, understanding these changes is essential to ensuring compliance, protecting clients, and reducing risks.
Seller Disclosure Statements: What Has Changed
The new legislation requires sellers to provide a formal Disclosure Statement to potential buyers before a contract is signed. This document must include key information about the property and is supported by prescribed certificates. The obligation applies broadly across residential and commercial property sales, although there are some limited exemptions. For example, disclosure is not required for transactions over ten million dollars where the buyer waives disclosure, transactions between related parties where a waiver is given, or sales to government or statutory bodies.
What the Disclosure Statement Contains
The Disclosure Statement itself is broken into six sections. The first part identifies the seller and sets out the property description, including title details. It also requires information about encumbrances and tenancy agreements. The second section covers statutory matters, such as unregistered encumbrances that will continue after settlement, and statutory encumbrances like sewerage lines or manhole covers.
The third section deals with land use, zoning, planning matters, resumptions, environmental registers, and heritage listings. The fourth section looks at buildings and structures, including pool compliance, owner-builder work, and any outstanding notices. The fifth section covers rates and service charges. The final section applies where the property is part of a community title scheme, in which case the most recent community management statement and relevant body corporate disclosure certificates must also be provided.
What Does Not Need to Be Disclosed
Importantly, the law also specifies what does not need to be disclosed. Matters such as flooding or natural hazard history, pest infestations, the structural soundness of buildings, the presence of asbestos, and historical approvals are excluded. This means agents need to focus only on what the legislation specifically requires and avoid unnecessary delays by over-disclosing.
Key Updates to the REIQ Standard Contract
The reforms also introduced major changes to the contracts used in Queensland property transactions. There are now only two standard contracts: one for residential real estate and one for commercial real estate. Both contracts have been updated to reflect the new disclosure regime and to modernise how certain matters are managed.
Deposits and Interest
One of the key changes relates to deposits. Previously, if the due date for a deposit fell on a non-business day, payment could be deferred until the next business day. Under the new rules, deposits must be paid on the actual date, even if it falls on a weekend or public holiday. The updated contract also clarifies how tax on interest earned from deposits is to be handled.
Land Tax Adjustments
Another important update concerns land tax. In the past, land tax was not adjusted at settlement. The new framework allows sellers to nominate whether land tax will be adjusted and, if so, whether this is calculated on a single holding basis or on their actual liability. This change introduces more flexibility but also requires careful attention from agents and their clients to ensure contracts reflect the correct arrangement.
Settlement Extensions
Settlement extensions have also been expanded. In addition to system outages at the Titles Office, which were previously covered, the legislation now mandates automatic extensions where disruptions occur at other institutions such as the Queensland Revenue Office, the Reserve Bank, electronic lodgement networks, or financial institutions. Settlement extensions are also permitted in the case of serious adverse events, including natural disasters, public health emergencies, acts of terrorism, or major community disruptions.
Body Corporate Records and GST
The new contract also provides greater clarity around body corporate records. Buyers now have a standard contractual right to inspect body corporate records, rather than needing to include a special condition. In addition, the GST provisions have been expanded. Sellers can now nominate, without the need for special conditions, whether the property is sold under the margin scheme, as a going concern, or as farmland.
Managing Risks and Guiding Clients
For agents, these reforms change both the timing and the nature of property transactions. The seller disclosure obligations mean that sellers must have documentation ready before marketing the property or conducting an auction. Agents play a central role in helping clients prepare this information, ensuring that disclosure is accurate, complete, and provided on time.
Managing risks is critical, as a failure to comply with disclosure requirements may allow buyers to terminate contracts. Beyond compliance, agents also have an important advisory role. Many sellers may find the new process complex and unfamiliar. Agents who can explain the requirements clearly, guide sellers through each stage, and ensure compliance will provide real value and strengthen their professional reputation.
Contact NB Property Law Today
The new disclosure laws mark one of the most significant changes to Queensland property law in decades. They increase transparency for buyers, impose new responsibilities on sellers, and demand greater diligence from real estate agents. Together with the updates to the REIQ standard contract, they are designed to modernise property transactions and reduce uncertainty.
By understanding the new framework and preparing proactively, agents can not only remain compliant but also provide their clients with the confidence and assurance needed in this new environment. At NB Property Law, we are here to help agents, sellers, and buyers navigate these changes, manage risks effectively, and achieve smooth, compliant transactions under the new legal regime.