WHAT IS A COOLING-OFF PERIOD

 

A cooling-off period is a three-day period during which a purchaser can withdraw from the contract. If none of the exceptions listed below applies, a purchaser may end the contract within three clear business days of the day that the contract was signed.

 

To end the contract you must give the vendor or the vendor’s agent written notice that you are ending the contract. If you end the contract in this way, you are entitled to a refund of deposit monies paid, EXCEPT for $100 or 0.2% of the purchase price, whichever is greater.

 

Exceptions – the three-day cooling-off period does not apply if:

 

  • You bought the property at or within three clear business days before or after a scheduled auction;
  • You received independent advice from a solicitor before signing the contract;
  • The property is used mainly for industrial or commercial purposes;
  • The property is more than 20 hectares in size and is used mainly for farming;
  • You previously signed a similar contract for the same property;
  • You are an estate agent or corporate body.