Form 2 Seller Disclosure Statement - A Year On

Introduction

For many Queenslanders, buying or selling a home, investment property or vacant land is one of the largest financial transactions they will partake in. For sellers or vendors, preparing the required Seller Disclosure Statement (‘Form 2’) is now a crucial step in that process.

Since 1 August 2025, the Queensland statutory seller disclosure regime requires sellers to provide potential buyers with a signed Form 2 Seller Disclosure Statement which outlines key information regarding the property before the buyers sign the contract.

What is disclosed?

There is a wide range of information that needs to be included in a Form 2, varying from property to property. When engaged to prepare the Form 2, clients will receive our questionnaire which will ask about the matters required to complete the Form 2. Throughout the process we will also conduct a variety of searches to help determine which information will need to be disclosed.

Matters that need to be disclosed include: 

• The seller’s name
• The property address and lot-on-plan description
• Current title search and the registered plan (these are called “Prescribed Certificates”)
• Registered encumbrances which appear on the current title search
• Unregistered encumbrances such as residential tenancies
• Statutory encumbrances
• Zoning of the lot
• Transport proposals or notices that affect the property
• Whether the land is listed on the Contaminated Land Register or Environmental Management Register
• Notices to resume part or the whole of the property
• Local government rates information
• Water charges (if applicable)
• Tree order applications under the Neighbourhood Disputes (Dividing Fence and Trees) Act 2011
• Heritage listing
• Whether there is a pool on the lot, and if there is, either a Pool Safety Certificate or Form 36 Notice of No Pool Safety Certificate must be provided to the potential buyers before the buyers sign the contract.
• Whether the property is included in a Community Titles Scheme under the Body Corporate and Community Management Act 1997 or a scheme under the Building Units and Group Titles Act 1980 including a Form 33 - body corporate certificate.

What is not disclosed?

The regime is not designed to be a replacement for the buyers’ own due diligence searches. There are many areas that the Form 2 does not cover such as: 

• Previous or current flooding or other natural risks
• Structural defects or the physical condition of the property
• Government approvals for the property
• Any pest or termite activity on the Lot
• Asbestos or other hazardous building materials
• Any development requirements or approvals affecting the property
• Other matters that may be specific to the buyers intended use of the property 

Buyers remain responsible to conduct their own due diligence for the property before buying. The standard REIQ Contract First Edition does not include a due diligence condition unless agreed between the sellers and buyers and added as a special condition to the contract.

When does a Form 2 Expire?

In determining when a Form 2 has expired there is no set expiration date set out under Queensland legislation. However, the sellers must ensure that the information provided to the buyers is accurate and complete at the time it is given.

The Form 2 will need to be updated once the information contained no longer accurately reflects the state of property. This could mean the issuing of new notices or orders, a new rates period, changes to tenancies or changes to property’s title search can make an existing Form 2 inaccurate or incomplete.

Consequences

Failing to comply with the requirements of a Form 2 including not providing the Form 2 to the buyers before the buyers sign the Contract or if the Form 2 is incorrect or incomplete when the buyers sign the contract, may grant the buyers the right to terminate the contract at any time before settlement.

Benefit of hiring a professional

Preparing a Form 2 involves more than just completing a standard form. Engaging a legal professional to prepare the form provides greater confidence, compliance, and protection throughout the property transaction. Engaging a professional helps identify potential issues early and can ensure that required documents and information are accurate, complete and provided on time. The proper preparation of a Form 2 reduces the risk of errors, contract termination, seller liability, and post settlement disputes. Ultimately, engaging a professional provides sellers with peace of mind that their disclosure obligations have been met so that there is one less thing to worry about during what can be a stressful time.

This document offers general information only and should not be relied upon as legal advice under any circumstances. Please contact Rapid Legal Conveyancing on (07) 4755 9150 to speak with one of our friendly staff if you require assistance or advice specific to you.