Queensland Seller’s Disclosure Law (Effective 1 August 2025)
🧾 Introduction to Seller’s Disclosure Reform
Purpose
The Property Law Act 2023 introduces a mandatory Seller’s Disclosure Statement (Form 2) that must be provided to buyers before signing a contract for sale in Queensland.
Key Goals:
- Promote transparency in property transactions
- Shift part of the due diligence burden back to sellers
- Ensure buyers are informed before legally committing to a purchase
Link to a sample Form 2 - www.publications.qld.gov.au
📌 When Is the Disclosure Required?
Scenario | Disclosure Timing |
Standard Purchase | Before buyer signs the contract |
Auction Sale | At bidder registration or when the hammer falls |
Option Contracts | Prior to signing the option deed |
📄 What Is Form 2?
Form 2 is a 7+ page standardised document that:
- Must be signed and dated by all sellers
- Accompanied by prescribed certificates/searches
- Must be delivered to buyers before the contract is signed
🔒 Do not sign Form 2 as a buyer unless advised by solicitor. Mere acceptance is sufficient.
✅ What Must Be Disclosed (Form 2 Contents)
Section | Description |
Seller & Property Details | Full legal names, ACN (if applicable), property address, lot/plan |
Title Search | Must be provided—shows seller is rightful owner |
Plan Image | Outlines property boundaries |
Encumbrances | All registered (easements, mortgages) and unregistered leases or oral agreements |
Statutory Encumbrances | e.g., rights of way, infrastructure rights |
Residential Tenancy Details | Must attach lease agreement and last rent increase notice |
Zoning | Seller must declare property zoning (e.g., low-density, commercial) |
Transport/Infrastructure Notices | Any known planned resumptions or road works |
Contaminated Land Register | Must disclose if property is listed |
Tree Orders or Disputes | Must disclose any current issues |
Heritage Listing | Must disclose if applicable |
Swimming Pool Compliance | Must provide a valid compliance or safety certificate |
Owner-Builder Work | Must disclose if any unlicensed structures exist |
Initial Notices (e.g., QCAT, enforcement) | Must be disclosed with supporting docs |
Quarterly Rates and Water Notices | Seller must attach latest bills |
Community Title (if applicable) | CMS, insurance, body corporate certificate and details |
Tenancy Disclosure (Private Arrangements) | Must disclose even unregistered or informal agreements |
❌ What Is Not Covered by Form 2?
These remain the buyer’s responsibility:
- Flood risk
- Asbestos presence
- Building & pest condition
- Structural integrity
- Historical use of land
- Development approvals
- Service connections (gas, electricity)
- Vegetation clearing limitations
- Full body corporate records
🛠️ Contract Timing Rules
Condition | Outcome |
Form 2 sent before contract (reasonable time) | ✅ Valid contract |
Form 2 sent within 5 mins of contract | ⚠️ Likely insufficient – must be “reasonable” |
Buyer signs pre-August; Seller signs post-August | ❌ Contract is void under new law |
Form 2 missing seller's signature | ❌ Invalid disclosure |
⚖️ Buyer Rights to Terminate
Even after a contract becomes unconditional, the buyer may terminate if:
- There is a material, fundamental, and detrimental misrepresentation in Form 2
- Examples:
- Incorrect zoning declared
- Undisclosed easement or tenancy
- Omitted encumbrance that affects property use
📌 Must be significant; $50 difference in council rates is unlikely to be enough
📤 Accepting vs. Signing Form 2
Action | Risk |
Accept (no signature) | ✅ Recommended. Leaves room for scrutiny |
Sign | ❌ May imply full buyer agreement and waive ability to challenge errors |
🧾 How Must the Disclosure Be Delivered?
Disclosure can be “served” via:
- Personal delivery to buyer or their principal address
- Post
- Email with attached documents (if buyer consents)
- Electronic link (explicitly referenced as a disclosure)
🏛️ This process mimics formal legal service – accuracy matters
💸 Cost and Timeframe
Item | Estimate |
Professional + Search Costs (Seller-side) | ~$600–$1,000 |
Expected Prep Time | Longer than prior method – agents can’t list property without Form 2 |
Disclosure Pack Length | Ranges from 59 to 129+ pages depending on property type |
💡 Practical Tips for Buyer-Side Teams
- Pre-market caution: Properties will take longer to go live. Factor this into timelines and conversations with agents.
- Always request Form 2 for review before your client signs anything.
- Scrutinise all ‘Yes’ boxes in Form 2 for required attachments.
- Never assume compliance – review signatures, dates, zoning, tenancies, and encumbrances.
- Alert your clients that even after unconditional, rights may exist if key facts were wrong.
- Document interactions where disclosures seem rushed or incomplete.
📎 Summary Checklist for Buyer-Side Review
Before client signs:
- Form 2 received before contract
- Signed and dated by all sellers
- All mandatory attachments included
- Tenant arrangements disclosed (if any)
- Zoning, easements, CMS reviewed
- Rates/water notices present
- Any “Yes” boxes in Form 2 verified
- Client does not sign Form 2 unless advised