Queensland’s property landscape is set to be transformed with the introduction of the Property Law Act 2023, which comes into effect on August 1.

The new legislation marks the most significant change to Queensland property legislation in 50 years, when the Property Law Act 1974 was implemented. The new laws have arisen from a need to bring greater transparency and accountability to real estate transactions. It will also bring Queensland laws into line with other states such as New South Wales and Victoria.

In a move away from the current “buyer beware” approach to sales, where buyers must conduct their own due diligence on a property, the new laws shift this responsibility to sellers with the introduction of a mandatory seller disclosure regime.

Currently, sellers must only provide:

•  A pool safety certificate, or a notice of no pool safety certificate before settlement;
• Smoke alarm compliance;
• Body corporate disclosure, for properties within a community titles scheme;
• Warning statements in the contract of sale alerting buyers to their rights, such as the cooling-off period.

Under the new system, sellers will need to provide the buyer with the prescribed documents, which take the form of a completed and signed Seller Disclosure Statement, which will be known as Form 2, and a list of prescribed certificates before a buyer signs a contract of sale. Failure to do so entitles a buyer to terminate the contract any time right up to the settlement date.

Specifically, a seller must provide:

• Title and plan details: A current title search and registered plan.
• Encumbrances: Disclosure of any registered and unregistered encumbrances, such as easements, covenants, and leases.
• Zoning and planning: Information on zoning, planning certificates, and any relevant statutory notices.
• Environmental and safety notices: Details of any environmental protection notices, pool safety certificates, and other compliance-related documents.
• Community Titles Scheme: For properties within a community titles scheme, sellers must include a Community Management Statement and Body Corporate Certificate.

Providing these documents ensures that buyers have access to all essential information about a property before purchase, allowing them to make a more informed decision and reducing the likelihood of any future disputes.

Staying informed and compliant with the changes is essential for all stakeholders in the real estate sector.

Real estate agents will play a pivotal role in educating and guiding clients – be they a buyer or a seller – to ensure they are compliant.

Kollosche has the benefit of its own in-house legal team, who are on hand to help sales agents and their clients navigate the changing landscape and assist in ensuring compliance to avoid sneaky termination rights from accruing.

If you are unsure of what the new legislation changes mean for you, reach out to your dedicated Kollosche agent today, who can keep you updated.