Residential Contracts cooling off period. When buying a residential property in Queensland there is a statutory 5 working day cooling off period applicable to the Contract.
The cooling off period begins when either the Buyers or the Buyers Representative have received a fully executed Contract signed by both the Sellers and Buyers.
If a Contract is received by the Buyers or the Buyers Representative over the weekend, then the cooling off period begins the next business day.
The cooling off period on Residential Contracts expires on the 5th business day at 5pm from the date of cooling off period.
During the cooling off period the Buyers have the right to terminate the Contract by giving notice to the Sellers or the Sellers Representative. Termination of the Contract under the cooling off period is subject to a termination penalty of 0.25% of the purchase price.
It is very important that your Lawyer or Conveyancer advises you the date the cooling off period expires.
Types of Contracts exempt from the cooling off period are:
- Auction Contract;
- A follow up Contract after an unsuccessful auction “before 5pm on the 2nd business day” if the Buyer was a registered bidder at auction.
- A Buyer purchasing 3 lots at the same time
If you need any advice about your rights under the Residential Contracts cooling off period do not hesitate to contact our office.
