Cooling-off period for residential property contracts
- For contracts that arrive on a weekend or a public holiday, the cooling-off period starts on the next business day.
- The cooling-off period still begins if a representative takes it on the buyer’s behalf.
- If there’s a dispute, the seller (or their agent) must prove when they delivered the contract.
- a sale by auction
- a follow-up sale after an unsuccessful auction (before 5pm on the second business day), in which the buyer was a registered bidder
- an option contract (or a sale contract formed as the result of an option contract).
- a publicly listed corporation (or their subsidiary)
- the State or a statutory body
- buying at least 3 lots at the same time (whether or not in the same contract).
- may deduct a penalty of up to 0.25% of the purchase price from the deposit
- will need to refund the rest of the deposit within 14 days.
Waived or shortened period
- they waive the cooling-off period entirely
- the cooling-off period will last until 5pm on a particular day.
The buyer must pay the deposit at the time set out in the reference schedule of the contract. The seller’s agent is usually the deposit holder. If this is you, you must put the deposit in your trust account.
- the seller is entitled to the money on settlement day
- the buyer is entitled to the money because they lawfully cancelled the sale contract.