Changes to real estate laws that streamline and simplify the residential real estate contract process come into effect tomorrow (1 October 2010).
Minister for Fair Trading, Peter Lawlor, said the changes to the Property Agents and Motor Dealers Act 2000 would bring fairness to vendors without compromising the rights of buyers.
"Under the previous rules the process of delivering real estate contracts was very prescriptive," he said.
"Agents had to present the required warning statement, contract and other documents in a very specific order.
"As a result, some buyers were using technical breaches as small as a page being out of order when a contract was faxed, to terminate contracts."
Minister Lawlor said under the new rules the documents don't have to be in a strict order, but the warning statement must still be attached to the contract.
"This change will protect vendors from such technical breaches without compromising the right s of buyers," he said.
"Buyers will keep their vital protections and the right to a cooling off period, as well as the provision of important information in a warning statement from selling agents.
"The warning statement advises buyers of their cooling-off rights and that they should seek professional advice from lawyers, building inspectors and valuers before they finalise a contract.
"I also recommend that if a buyer is considering terminating a contract or exercising their cooling-off rights they seek independent legal advice."
Real Estate Institute of Queensland Managing Director Dan Molloy said the changes were a result of government and industry working together.
"This ensures the right legislation is in place to protect homeowners, whether they are buying or selling their property," he said.
"The amended legislation will restore much-needed certainty to the process without any reduction in the consumer protection objecti ves for buyers.
"Importantly this also will restore confidence among property sellers who at the end of the day are consumers too.
"The REIQ welcomes this much-needed reform and looks forward to working collaboratively with the government on future legislation."
The Office of Fair Trading's Property Smart booklet provides handy tips for people looking to buy residential real estate.
You can download this information from www.fairtrading.qld.gov.au or call 13 QGOV (13 74 68).
For more information on your rights when buying or selling a house, visit www.fairtrading.qld.gov.au
Minister for Tourism and Fair Trading
The Honourable Peter Lawlor
30/09/2010
