What Buyers and Sellers Need to Know Before Signing a Contract

Clear Information Helps Prevent Costly Surprises

One phrase I never want to hear from a client after a property contract has been signed is:

“I didn't know that.”

Buying or selling a home is a significant financial decision. Yet it can be surprisingly easy to concentrate on the price and overlook some of the other details contained in the contract.

A property contract isn't simply an agreement on price. It sets out important dates, conditions, obligations and rights for both the buyer and seller.

Understanding what you're agreeing to before you sign can help prevent unnecessary surprises later.

Know What You're Signing

Property contracts can contain conditions relating to finance, building and pest inspections, settlement and other matters negotiated between the parties.

Don't assume that because something is common in a property transaction it will automatically apply to yours.

The wording of the contract matters.

Before signing, make sure you understand the conditions that have been included, the important dates and what is expected of you throughout the transaction.

Buyers Should Understand Their Conditions

For buyers, finance and building and pest conditions can provide important protections when they are included in the contract.

But simply having a condition isn't enough.

You need to understand what the condition requires, when it must be satisfied and what you may need to do if a problem arises.

Queensland residential property contracts will generally also have a statutory five-business-day cooling-off period, although there are exceptions, including contracts formed at auction. A buyer can also waive or shorten the cooling-off period in writing.

This is one of the reasons buyers should obtain independent legal advice about the contract before signing.

Sellers Need to Understand the Contract Too

Contract conditions aren't only important for buyers.

Sellers should understand the conditions a buyer is requesting, the timeframes involved and how those conditions could affect the certainty and timing of the sale.

Queensland also now has a statutory seller disclosure scheme. Since 1 August 2025, sellers generally need to provide prescribed disclosure information to a buyer before the buyer signs the contract.

Preparing properly before the property goes under contract can therefore be just as important as negotiating the sale price.

Settlement Dates Matter

The settlement date isn't something to choose without considering the practical implications.

Buyers may need to coordinate finance, insurance, removalists and the sale or end of a lease on another property.

Sellers may also be coordinating another purchase, moving arrangements or access to their next home.

Current Queensland residential contracts contain provisions under which the stated settlement date can change in certain circumstances, so if settlement on a particular date is critical, legal advice should be obtained before signing.

Don't Make Assumptions

One of the biggest risks in any property transaction is assuming you know what something means.

What happened when a friend bought or sold a property isn't necessarily what will happen with yours. Contract terms, circumstances and legislation can change.

If there's something you don't understand, ask before you sign.

Your real estate agent can explain the property transaction and negotiation process, while your solicitor or conveyancer should advise you about the legal meaning and effect of the contract.

Good Decisions Start Before the Contract Is Signed

The best time to ask questions isn't after a problem appears.

It's before you commit.

Whether you're buying or selling, take the time to understand the property, the proposed terms and the decisions you're making.

There should be far fewer opportunities to say “I didn't know that” when you have the right information from the beginning.