Seller Disclosures Under REIQ Contract for Brisbane Home Sales
Selling a home in Brisbane using the Real Estate Institute of Queensland (REIQ) nineteenth edition contract for houses and residential land involves specific disclosure obligations.
As of March 18, 2025, this contract, updated in September 2024, governs the process, ensuring sellers provide essential information to buyers. This blog explores the detailed requirements, drawing from recent updates and legal standards, and prepares sellers for a transparent transaction.
Background on the REIQ Contract
The REIQ contract is a standard form used for residential property sales in Queensland, endorsed by the Queensland Law Society. The nineteenth edition, released in September 2024, reflects updates to align with evolving property laws, including anticipated changes under the Property Law Act 2023, which passed in October 2023.
However, as of March 2025, the new seller's disclosure regime under this Act is set to commence on August 1, 2025, meaning current obligations follow the existing framework.
Seller's Disclosure Obligations
Under the REIQ contract, sellers must disclose various details to ensure buyers make informed decisions. These disclosures, detailed below, are critical to avoid legal disputes and ensure compliance:
- Title and Encumbrances: Sellers must disclose any defects in the property title or unregistered encumbrances that will not be removed at or before settlement. This includes issues like sewer mains, electricity mains, or unregistered rights to enter or cross part of the property, as outlined in clause 7.2 of earlier editions, likely retained in the 19th edition.
- Legal Issues: Any current or potential claim, notice, or legal proceeding that may lead to a judgment, order, or writ affecting the property must be disclosed. For example, a neighbor claiming encroachment or nuisance, as per clause 7.4(2) in previous editions, is expected to remain relevant.
- Competent Authority Orders: Sellers must inform buyers of any valid notice or order from competent authorities, such as Brisbane City Council, Supreme Court, or QCAT, requiring work on the property issued before the contract date, under clause 7.6(1) in earlier versions.
- Pool Compliance: If the property includes a non-shared pool, sellers must provide a pool compliance certificate at settlement. If no certificate exists, a Notice of No Pool Safety Certificate must be given to the buyer prior to signing the contract, a requirement introduced in the 17th edition and likely continued.
- Warranties: Sellers must warranty that they have not received communication from a competent authority that may lead to enforcement notices or work orders, a new addition in the 17th edition, suggesting its inclusion in the 19th edition for transparency.
- Death in Property: An "aware of deaths" statement must be signed if there has been a death in the property, a standard practice in Queensland real estate to inform buyers of such events.
- Body Corporate Information: For units or townhouses within community title schemes, sellers must provide a body corporate disclosure statement, including fees and responsibilities, as required under Section 206 of the Body Corporate and Community Management Act 1997, applicable to the REIQ contract.
- Smoke Alarm Compliance: Compliance with smoke alarm regulations must be disclosed, following updates in the 17th edition (clause 7.8) responding to changes effective January 2022, likely retained in the 19th edition to meet current building codes.
- Other Specific Disclosures: Sellers must provide any other information required by the contract or law, such as environmental hazards, building compliance issues, or other material matters a reasonable buyer would consider significant.
Additional Requirements at Settlement
Beyond pre-contract disclosures, sellers have obligations at settlement to facilitate a smooth transfer:
Tax Clearance: Before settlement, sellers must obtain and provide a clearance certificate from the Australian Taxation Office (Queensland Law Society) to ensure no outstanding tax liabilities affect the property, a standard practice in Queensland real estate transactions.
Legal and Practical Considerations
Sellers should note that failure to disclose material facts can lead to buyer termination rights before settlement or legal action post-sale. The REIQ contract, as a standard form, is designed to cover most scenarios, but sellers are advised to consult legal professionals for complex cases. The contract signing process, whether manual or electronic, must follow the routing order to ensure compliance, especially for community title schemes.
Upcoming Changes
It's worth noting that a new mandatory seller's disclosure regime under the Property Law Act 2023 will commence on August 1, 2025, requiring a Seller’s Disclosure Statement and prescribed certificates, including known defects, orders, notices, and material matters (REIQ). However, as of March 2025, these changes are not yet in effect, and the current disclosures outlined above apply.
Comparative Table of Disclosures
To summarize, the following table lists the key disclosures required under the REIQ 19th edition contract as of March 2025:
| Disclosure Type | Details |
| Title and Encumbrances | Defects in title, unregistered encumbrances not removed by settlement. |
| Legal Issues | Claims, notices, or proceedings affecting the property. |
| Authority Orders | Notices or orders requiring work, issued before contract date. |
| Pool Compliance | Pool compliance certificate for non-shared pools, or notice if none. |
| Warranties | No received communications leading to enforcement notices. |
| Death Disclosure | "Aware of deaths" statement if applicable. |
| Body Corporate (Units) | Disclosure statement including fees and responsibilities. |
| Smoke Alarm Compliance | Ensure compliance with current regulations and disclose. |
| Tax Clearance (Settlement) | ATO clearance certificate before settlement. |
This table aids sellers in organizing their disclosures, ensuring all bases are covered for a transparent sale process.
Conclusion
Selling a home in Brisbane using the REIQ nineteenth edition contract requires careful attention to disclosure obligations. By providing detailed information on title, legal issues, authority orders, and specific certificates like pool compliance and body corporate statements, sellers ensure compliance and buyer satisfaction. As the property market evolves, staying informed about upcoming changes, such as the August 2025 disclosure regime, will be crucial for future transactions.
Key Citations:
- REIQ Property Contracts
- Queensland Law SocietyNew REIQ residential contracts released REIQ
- Your guide to REIQ contract of sale GM Law
- The Real Estate Institute of Queensland Contract Queensland Law Handbook
- Statutory seller's disclosure in Queensland REIQ
- Seller disclosure major changes to sales transactions coming in 2025 REIQ
- Buyer Beware New Property Law in Qld Seller Disclosures Foundation Solutions
- The Property Law Act 2023
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