HOW TO TERMINATE A HOUSE AND LAND CONTRACT IN QUEENSLAND?
Navigating the complexities of CONVEYANCING transactions, particularly when it comes to terminating a contract in Queensland, requires a thorough understanding of the legal PROPERTY LAW.
For those who have entered into a house and land CONVEYANCE IN QLD, The uncertainties surrounding the termination of the contract before settlement can be daunting.
However, seeking guidance from CONVEYANCING professionals is crucial in ensuring a smooth and legally sound process.
Horrocks Solicitors, with over three decades of experience, IS THE TRIED AND TRUSTED CONVEYANCING CHOICE for Queenslanders embarking on property transactions in Brisbane, the Gold Coast, and Greater Area.
As legal conveyancing experts, WE offer invaluable assistance in settling conveyances, making the intricacies of property BUYING AND SELLING EASILY manageable.
When contemplating contract termination WE HIGHLY RECOMMEND LEGAL ASSISTANCE to steer clear of substantial mistakes that may lead to UNWANTED financial consequences. HORROCKS SOLICITORS WILL Safeguard YOUR interests throughout the termination process.
WHAT IS A ‘COOLING OFF PERIOD’ IN CONVEYANCING?
An IMPORTANT FACET of property transactions in Queensland is the 'Cooling Off Period.' This temporal window, commencing WHEN the Buyer RECEIVES A FULLY SIGNED contract and extendS until 5:00 PM FOUR business days later, provides an opportunity for withdrawal from the contract.
WHAT ARE SOME VALID REASONS FOR CONTRACT TERMINATION IN QLD CONVEYANCING?
A withdrawal OF A PURCHASE OFFER AND TERMINATION OF A REIQ HOUSE AND LAND CONTRACT is permissible for various valid reasons, including:
NOT RECEIVING FINANCE APPROVAL OR NOT RECEIVING SATISFACTORY FINANCE APPROVAL BUT ONLY IF THE CONTRACT IS SUBJECT TO FINANCE APPROVAL
discovering undisclosed damages or infestations BUT ONLY IF THE CONTRACT IS SUBJECT TO BUILDING AND PEST INSPECTION REPORT
The option to waive the Cooling Off Period exists, subject to mutual agreement between the Buyer and Seller AND IS USUALLY MADE A TERM OF THE CONTRACT.
This ‘COOLING OFF PERIOD’ THEREFORE EXISTS TO providE a measure of flexibility within the contractual framework TO PROTECT THE PROSPECTIVE BUYER OF THE PROPERTY. BUT ONLY IF IT HAS NOT BEEN WAIVED AND ONLY FOR A VERY SHORT PERIOD OF TIME UNDER THE COOLING OFF PERIOD.
HOW DO YOU TERMINATE A CONVEYANCING CONTRACT?
Terminating an REIQ contract involves the Buyer delivering a written notice to the Seller bEFORE 5:00 pm on the fifth business day of the Cooling Off Period. This notice can be DELIVERED through various channels, such as in-person delivery, email, or fax.
Certain exemptions to the Cooling Off Period exist, including:
properties sold at auction,
contracts with explicit clauses negating its application,
WHAT HAPPENS TO THE DEPOSIT IF A CONVEYANCE CONTRACT IS TERMINATED UNDER THE COOLING OFF PERIOD?
IN ADDITION THE REFUND OF THE DEPOSIT MUST BE CONSIDERED WHEN CHOOSING Contract termination.
Recent CHANGEs in the standard REIQ contract dictate that if the Buyer rightfully terminates the contract CORRECTLY within THE stipulated conditions OF ‘THE COOLING OFF PERIOD’, they are entitled to the deposit.
The Seller THEREFORE must refund the deposit within 14 days of contract termination. However, if the termination occurs during the Cooling Off Period, the Seller may levy a penalty of up to 0.25% of the purchase price FROM the deposit.
CAN THE SELLER TERMINATE A CONVEYANCING CONTRACT IN QUEENSLAND?
SELLERS ARE UNABLE TO TERMINATE CONTRACTS UNDER THE COOLING OFF PERIOD.
Breaking a legally binding contract exposes the Seller to penalties, fees, and the risk of legal action by the Buyer.
IF YOU ARE BUYING OR SELLING AND IN THE PROCESS OF A PROPERTY TRANSACTION IN QUEENSLAND, ENGAGING THE SERVICES OF A EXPERIENCE CONVEYANCERS IS IMPERATIVE TO SAFEGUARD YOUR INTERESTS THROUGHOUT THE CONVEYANCE.
CONTACT HORROCKS SOLICITORS TODAY ON 07 3013 2300 OR EMAIL RECEPTION@RIVERCITYCONVEYANCING.COM.AU FOR ALL YOUR CONVEYANCING QUESTIONS.
