Queensland’s Seller Disclosure Scheme: Your Guide to Obligations & Buyer Protection16 min read

Introduction

Changes to property law in Queensland, effective from 1 August 2025, introduced a mandatory seller disclosure scheme under the Property Law Act 2023 (Qld) (‘PLA’). This new disclosure regime requires a seller to provide key information to a potential buyer before a contract is signed, enhancing transparency and buyer protection in property sales.

This article explains the essential disclosure requirements for a seller under the Queensland seller disclosure scheme. It details the necessary documents, the consequences of failing to comply, and the specific property transactions exempt from these rules.

Interactive Tool: Check If You Must Provide a Seller Disclosure Statement

Seller Disclosure Regime in Queensland

The Purpose of the New Property Law Changes

The seller disclosure scheme, introduced under the PLA, represents a significant change to property law in Queensland. Specifically, it shifts responsibility from the traditional ‘buyer beware’ approach to a model where the seller must provide key information upfront. As a result, the new disclosure regime is designed to give buyers important property details before they are legally committed to a purchase.

Ultimately, the primary purpose of these changes to property law is to improve the process for both the seller and the buyer. The aims of the new seller disclosure scheme are as follows:

• Enhance transparency: in property transactions by providing buyers with critical information before a contract is signed;
• Strengthen buyer protection: allowing purchasers to make more informed decisions;
• Clarify disclosure obligations: for a seller of freehold land; and
• Streamline the buying process: to increase confidence that contracts will proceed to completion.

When the Disclosure Scheme Commenced

The mandatory seller disclosure scheme in Queensland became effective on 1 August 2025. Consequently, the new rules established by the PLA (which replaced the previous Property Law Act 1974 (Qld)) dictate the following:

• Commencement: the Act and the scheme commenced on the same day; and
• Contract application: these disclosure requirements apply to all contracts for the sale of freehold land entered into on or after this date.

Key Seller Disclosure Obligations for Property Developers

The Seller Disclosure Statement & Prescribed Certificates

Under the Queensland seller disclosure scheme, a seller must provide a prospective buyer with two main types of documents before the contract of sale is signed. These include:

• Seller Disclosure Statement: a completed and signed document, which must be in the approved form (Form 2); and
• Prescribed certificates: specific documents relevant to the property, such as a title search or certificates relating to strata and body corporate matters, which must be given to the buyer alongside the disclosure statement.

What Property Information Must Be Disclosed

The Seller Disclosure Statement must be completed with information that is true at the time it is given to the buyer. Key details that a seller is required to disclose include:

• Title and encumbrances: this covers title search details, the plan of survey, and information about any registered and unregistered encumbrances, such as informal leases or statutory rights for infrastructure.
• Land use and planning: sellers must provide information on the property’s zoning, any notices received about transport infrastructure proposals, and whether the lot is affected by a notice of intention to resume.
• Environmental and heritage: disclosure is required if the property is listed on the contaminated land or environmental management registers, is subject to tree applications or orders under the Neighbourhood Disputes (Dividing Fences and Trees) Act 2011 (Qld), or has a heritage listing.
• Buildings and notices: this includes whether there is a pool on the property, details of any building work carried out under an owner-builder permit in the last six years, and any unsatisfied show cause or enforcement notices under the Building Act 1975 (Qld) or Planning Act 2016 (Qld).
• Rates and tenancy: the statement must include the total amount of rates and charges from the most recent notice, and if the property was subject to a residential tenancy in the previous 12 months, the date of the last rent increase must also be disclosed, reflecting recent updates to QLD rental law.

How & When to Provide Disclosure Documents

All disclosure documents, including the completed Seller Disclosure Statement and all prescribed certificates, must be given to the buyer before the buyer signs the contract of sale. Furthermore, the seller has the responsibility to prove that these documents were provided.

The documents can be delivered through several methods, as follows:

• in person;
• by post; or
• via email or another form of electronic communication, if the buyer consents.

Ultimately, it is advisable for the seller to retain proof of delivery, such as a signed acknowledgement from the buyer or an electronic read receipt. This helps to confirm compliance with the disclosure requirements.

What Information Sellers Are Not Required to Disclose

While the Queensland seller disclosure scheme provides a buyer with significant information, the disclosure requirements under the PLA have clear limits. A seller is not obligated to provide details on every aspect of a property’s history or condition. This distinction is important for a buyer to understand, as it highlights the areas where they must conduct their own investigations.

The new seller disclosure scheme does not require a seller in Queensland to disclose information regarding:

• Building Condition: The structural soundness of buildings, the presence of pests, or issues related to asbestos within any improvements on the property.
• Natural Hazards: A property’s history of flooding or its susceptibility to other natural hazards.
• Property Use and Approvals: The current or historical use of the property, along with details of past or present building and development approvals.
• Planning and Services: Any limits on land use imposed by planning laws or information about services that are or may be connected to the lot.
• Environmental Factors: Specific details concerning vegetation clearing, koala habitats, or other development restrictions not covered by the prescribed certificates.

These exclusions from the mandatory disclosure regime mean that a buyer should not rely solely on the seller’s disclosure statement for a complete picture of the property. It remains essential for any prospective buyer to undertake their own site acquisition and due diligence, which may include obtaining building and pest inspection reports and making enquiries with the relevant local authorities before signing a contract.

Buyer Protections & Termination Rights for Failing to Comply

Grounds for a Buyer to Terminate the Property Sale Contract

The Queensland seller disclosure scheme provides significant buyer protection by granting termination rights if a seller does not meet their obligations. A buyer can terminate a contract of sale at any time before settlement if the seller fails to comply with the disclosure requirements. Upon termination, the seller must repay any deposit and other amounts paid by the buyer within 14 days.

A buyer has grounds to terminate the contract in two main situations:

• Failure to provide documents: The buyer can terminate if the seller does not provide the completed Seller Disclosure Statement or any applicable prescribed certificate before the buyer signs the contract.
• Inaccurate or incomplete disclosure: The buyer may also terminate if the disclosure documents contain an inaccuracy or omission about a material matter affecting the property.

To exercise this right, the buyer must provide a termination notice to the seller. Furthermore, this right to terminate for non-compliance is a key feature of the new property law, shifting risk away from the buyer.

Understanding Material Matters & Other Exceptions to Termination

For a buyer to terminate a contract due to inaccurate or incomplete information, several conditions must be met. The issue must relate to a ‘material matter’, and the buyer must demonstrate that:

• they were not aware of the correct information when they signed the contract; and
• they would not have entered into the contract if they had known the correct state of affairs.

Under the Property Law Regulation 2024 (Qld), information concerning rates and water services is specifically excluded from being a material matter.

There is also a key exception to these termination rights. If another law already specifies a consequence for a seller’s failure to disclose certain information, that consequence will apply instead of the termination right under the PLA. For example, if a seller fails to provide a notice for work done under an owner-builder permit as required by the Queensland Building and Construction Commission Act 1991 (Qld), the buyer is given a contractual warranty that the work was carried out properly, but does not gain a right to terminate the contract.

Exemptions from the Queensland Seller Disclosure Scheme

The mandatory seller disclosure scheme under the PLA does not apply to all property sales in Queensland. Instead, the disclosure requirements are waived for certain property transactions, which is important for both a seller and a buyer to understand. As a result, the new seller disclosure scheme does not apply to the following types of property sales:

• Off-the-plan sales: The disclosure regime does not cover the sale of ‘proposed lots’, which are commonly known as off-the-plan sales. Furthermore, these transactions are subject to separate disclosure rules under other legislation.
• High-value transactions: An exemption is available for property sales where the price is more than $10 million, including GST. However, this exemption only applies if the buyer agrees to waive their right to receive the disclosure documents.
• Sales to certain entities: Disclosure is not required when the buyer is a government body, a constructing authority, a statutory body, or a publicly listed corporation or its subsidiary.
• Sales between related parties: Transactions between related parties, such as family members, are exempt, provided the buyer waives the disclosure requirement.
• Specific property arrangements: The rules do not apply to sales between co-owners, sales to adjust a common boundary between neighbours, or contracts that arise from an option where full disclosure was already provided to the same buyer.
• Sales under specific circumstances: Other exemptions include sales by a local council to recover unpaid rates, or sales that give effect to a court order or a financial agreement under the Family Law Act 1975 (Cth).

Conclusion

The new Queensland seller disclosure scheme, effective from 1 August 2025, requires sellers to provide buyers with a detailed disclosure statement and prescribed certificates before a contract is signed. This new property law enhances buyer protection by outlining clear seller obligations, termination rights for non-compliance, and specific exemptions from the disclosure regime.

To ensure you meet these new disclosure requirements and manage your property transactions effectively, contact GRM Law’s experienced property development lawyers. Our team provides expert guidance on your obligations under the new seller disclosure scheme to help you achieve a compliant and successful sale.

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