If you’ve ever bought property, you might have come across the phrase caveat emptor, Latin for “let the buyer beware.” Traditionally, this meant it was up to the buyer to do all the homework: research the property, check for issues, and weigh any risks before signing on the dotted line. Sellers weren’t always obligated to disclose everything, leaving buyers to rely on their own due diligence, a system that has left a lot of buyers open to costly surprises.
But Queensland’s property laws have changed.
The new Property Law Act 2023, replacing the 1974 legislation from August 1, 2025, is moving away from the old “buyer beware” approach.
But, what does this mean for buyers and sellers? What must be included in a disclosure statement, and how will the process work under the new legislation?
Under these updated rules, sellers will now need to provide buyers with a detailed disclosure statement and prescribed certificates before signing a contract. These statements will outline all the essential details about a property, making transactions more transparent and giving buyers the confidence to make informed decisions.
In this article, we discuss everything you need to know about QLD’s seller disclosure statement, explaining the new requirements, what you need to know, and how to navigate property transactions.
Background of the Property Law Act 2023
Queensland’s property laws have been guided by the Property Law Act 1974 for nearly 50 years. While it served the state for decades, this legal framework had become outdated, relying on a patchwork of common law, statutory provisions, and contractual rules. Buyers often had to pay for property searches after signing contracts, and there was no single law ensuring consistent disclosure.
The new legislation replaces this patchwork with a standardised framework for all existing freehold property sales. After a transition period, the new legislation came into effect on August 1, 2025, following its proclamation on September 20, 2024.
The Property Law Act 2023 brings Queensland in line with successful disclosure models used elsewhere in Australia, providing a clearer, more consistent framework for property transactions.
The updated rules now cover:
- Residential, commercial, industrial, rural, vacant, and strata-titled properties
- Auction sales, mortgagee sales, and option contracts, previously exempt from disclosure
What is a Seller Disclosure Statement?
A Seller Disclosure Statement (Form 2) is a legal document that provides complete and accurate information about a property being sold in Queensland. Under the new rules, sellers are required to supply buyers with all the essential information they need.
In addition to the statement, sellers must provide prescribed certificates. These don’t need to be attached to the main document but are part of the disclosure obligations. The rules apply to all existing freehold property sales contracts from August 1, 2025, with certain exceptions.
Why It Matters for Buyers and Sellers
For buyers, the disclosure statement offers a chance to review key property information before signing the contract, helping them make better decisions and reducing the risk of disputes later. It’s important to note, however, that the statement doesn’t cover everything; issues like flood history, structural condition, pest problems, and building approvals are not included.
For sellers, the new law brings added responsibilities as they must research and gather detailed and accurate property information upfront. Failing to comply has serious consequences. Buyers can terminate the contract at any time before settlement if disclosure documents are missing or contain material inaccuracies. Sellers may be required to refund all payments with interest.
This highlights the importance of getting it right the first time.
Who Needs to Complete a Seller Disclosure Statement?
One of the biggest changes under the Property Law Act 2023 is the introduction of the seller disclosure regime. From August 1, 2025, all sellers of freehold property in Queensland must provide a completed Form 2 disclosure statement along with any required certificates before the buyer signs the contract.
Sellers have several options for preparing the disclosure statement:
- Complete it themselves
- Ask a solicitor to prepare it
- Allow a real estate agent to prepare it (with written permission)
Real estate agents must follow strict procedures, cannot provide legal advice, and should not interpret search results. Agents can charge for preparing the Form 2, but the cost must be listed in the PO Form 6 Appointment of Property Agent.
Either the seller or an authorised agent must sign the disclosure statement before giving it to the buyer. For auctions, the same rules apply: the disclosure statement and prescribed certificates must be available to buyers before the sale concludes.
What Sellers Must Disclose Before Contract Signing
Under Queensland’s new property laws, the Form 2 Seller Disclosure Statement must provide complete and accurate property information to buyers before contract signing. Sellers are legally responsible for gathering and presenting this information, which covers several key areas:
1. Title Details and Encumbrances
Sellers must include a title search and a registered survey plan showing property boundaries. Both registered and unregistered encumbrances need to be disclosed, such as easements, mortgages, leases, and statutory encumbrances.
Any unregistered agreements that continue after settlement, like access agreements or unregistered charges, should also be noted. Additionally, statutory rights permitting infrastructure or property access for repairs must be included.
2. Environmental and Heritage Notices
Transparency about environmental and heritage matters is essential. Sellers must disclose whether the property appears on the Environmental Management Register or the Contaminated Land Register, and provide copies of any notices issued under the Environmental Protection Act 1994.
Heritage listings, including those under the Queensland Heritage Act or World Heritage listing, must also be included in the disclosure statement.
3. Rates, Water Charges, and Zoning Information
The disclosure must include the latest rates assessment and water charges. Zoning information from local planning schemes, which affects the property’s development potential or permitted uses, must be clearly documented. Providing this information upfront helps buyers understand what they can, and cannot do with the property.
4. Neighbourhood Disputes and Tree Orders
Sellers must be upfront about neighbourhood disputes, particularly those related to trees under the Neighbourhood Disputes (Dividing Fences and Trees) Act 2011.
The disclosure should include copies of active QCAT orders or applications concerning trees that may cause damage, block sunlight, or pose safety risks. Full transparency here can prevent disputes and legal complications later.
Understanding Prescribed Certificates & Form 2
The Form 2 Seller Disclosure Statement QLD relies on specific prescribed certificates to give buyers a complete picture of the property. These mandatory documents form the foundation of Queensland’s new disclosure regime, ensuring transparency and protecting both buyers and sellers.
- Title Search and Plan of Survey Requirements: Every disclosure statement must include a current title search showing registered interests under the Land Title Act 1994. This document details encumbrances and other title interests, helping buyers understand any limitations on the property. A registered survey plan is also required, illustrating property boundaries and any easements.
- Body Corporate Certificate for Community Titles: If the property is part of a community titles scheme, sellers must provide either a Form 33 or Form 34 body corporate certificate. The body corporate is required to issue this certificate within five business days of receiving a written request. Standard certificates cost AUD 85.00, with an additional cost for priority processing. These certificates contain crucial information about levies, by-laws, insurance, common property, and embedded networks, giving buyers a clear understanding of their responsibilities within the scheme.
- Pool Compliance and Environmental Notices: Properties with swimming pools must include either a pool safety certificate or a notice confirming its absence. Environmental matters also need to be disclosed, including any contamination notices or listings on the Environmental Management Register. Sellers must provide copies of notices issued under sections 408(2), 369C(2), or 347(2) of the Environmental Protection Act 1994, ensuring buyers are aware of potential environmental risks.
- Disclosure Statement QLD Template Format: The official Form 2 template, available via the Queensland Government Publications Portal, includes all required sections and prescribed warnings. It covers title details, land use, buildings, and structures. Either the seller or an authorised agent must sign the completed form, confirming that the information provided is accurate and complete.
Exceptions and Special Cases in Disclosure
Queensland’s new seller disclosure regime is thorough, but there are several important exceptions and special cases where the requirements either don’t fully apply or are modified:
1. Sales Over $10 Million with Waiver
For property transactions exceeding AUD 10 million (including GST), buyers can waive compliance by providing written notice to the seller.
This typically applies to commercial properties, large development sites, and luxury residential properties. However, buyers should seek legal advice before waiving compliance, as doing so removes their termination rights under the Property Law Act 2023.
2. Related Party Transactions and Government Sales
The disclosure statement requirements do not apply in transactions where the buyer and seller are related parties, provided the buyer issues a written waiver prior to signing. Similarly, sales involving state entities, government bodies, local councils, constructing authorities, or listed corporations are exempt from these disclosure obligations.
3. Auction Sales and Option Contracts
Under the new laws, buyers are considered to have entered into a contract once the auction hammer falls. Sellers must therefore provide disclosure documents to all registered bidders before the auction begins.
Disclosure is also required before buyers sign any option contracts, ensuring transparency even in non-standard sales arrangements.
4. Community Title and BUGTA Scheme Variations
Properties within community titles schemes must include the standard Form 2 disclosure statement, along with additional documents such as the community management statement and a body corporate certificate (Form 33 or 34).
Similarly, properties within BUGTA schemes require a Form 2 disclosure statement plus body corporate certificates in Form 18 format. These extra requirements ensure buyers have all the information they need about shared facilities, levies, and governance.
Legal Consequences of Non-Compliance
Queensland’s Property Law Act 2023 introduces serious consequences for sellers who fail to comply with the new disclosure requirements. Understanding these risks is crucial to avoid costly disputes and protecting both parties in a property transaction.
1. Termination Rights Under Section 104
Under Section 104, buyers have the right to terminate a contract before settlement in two main situations:
- If the seller fails to provide the disclosure statement or required certificates before the contract is signed.
- If the documents contain incorrect or missing information about important property matters.
This provision gives buyers added protection and emphasises the importance of accurate, timely disclosure.
2. Material Inaccuracies and Buyer Remedies
Buyers can cancel a contract based on inaccuracies only if three conditions are met:
- The error involves important information about the property.
- The buyer did not know the correct details at the time of signing.
- The buyer would not have entered into the contract had they known the truth.
It’s important to note that not all information qualifies as “important”. For example, matters like rates and water services generally do not give buyers a termination right under this section.
3. Third-Party Certificate Inaccuracies
Sellers are not automatically liable for errors in certificates issued by third parties, such as body corporate certificates. Buyers can only cancel under Section 104 if these required certificates contain mistakes, which helps protect sellers from responsibility for information they have merely passed along.
4. Refund Obligations and Interest Repayment
If a buyer cancels due to non-compliance or material inaccuracies, the seller must refund all payments made toward the property, including interest. This includes the entire deposit, not just the standard 0.25% original deposit, making non-compliance a potentially costly mistake for sellers.
Looking Ahead & Navigating Queensland’s New Property Disclosure Rules
Coming into effect on 1 August 2025, Queensland’s Property Law Act 2023 marks a major shift in real estate transactions, standardising the buying process. By providing a complete and accurate Form 2 Seller Disclosure Statement along with the required prescribed certificates, sellers not only comply with the law but also build trust with buyers and reduce the risk of costly disputes.
From understanding title details and encumbrances to environmental notices, zoning information, and neighbourhood disputes, preparation is key. The new rules also bring important exceptions, timing requirements, and legal consequences that every seller must be aware of.
The takeaway is simple: be thorough, be proactive, and deliver disclosures on time. By following these guidelines, you can navigate Queensland’s updated property laws confidently, protect your investment, and make the sale process smoother and more transparent for everyone involved.
Navigating Queensland’s new Property Law Act can be complex, especially with the updated seller disclosure requirements, prescribed certificates, and timing obligations. At Countryside Realty Noosa, we combine our deep local expertise and extensive property insight to help you navigate these changes with confidence. Get in touch today and let’s discuss your property needs.