Cooling-off period
- The standard contract for buying a home comes with a cooling-off period of 5 business days. This means if you’re not totally happy, you can cancel the contract during this time.
- However, auctions have no cooling-off period, and neither does a private treaty contract:
• entered into within 2 business days of an unsuccessful auction of that property
• in which the buyer was a registered bidder at the auction.
When it starts
When it starts
- The cooling-off period starts the day the Buyer gets a copy of the signed contract (signed by both parties).
• If you get it on a weekend or a public holiday, the cooling-off period starts on the next business day.
• The cooling-off period still begins if a representative takes the signed contract on your behalf.
• If there’s a dispute over when you got the contract, the seller will need to prove they got it to you.
When it ends
- The cooling-off period ends at 5pm on the final (5th) day of the cooling-off period.
How to cancel the sale
- To cancel during the cooling-off period, you must:
• give written notice to the seller (or seller’s agent) by letter, email or fax
• sign it (an electronic signature on an email is acceptable)
• deliver it before 5pm on the final day. - The seller must refund the deposit within 14 days. They may deduct a penalty of up to 0.25% of the purchase price.
