Selling off-market: Seller disclosure obligations

What is an Off-Market Sale?

An off-market sale refers to the sale of a property that occurs without traditional public marketing.  This type of sale often arises through personal networks, buyer’s agents, or direct negotiations.  Selling property off-market can offer privacy, flexibility and cost savings.

While off-market sales can be quicker and more discreet, sellers need to be aware that an off-market sale does not automatically exempt them from the legal framework that governs property transactions in Queensland.  This includes the seller’s disclosure regime, commencing on 1 August 2025.

Key Legislative Requirements

If you're being appointed to sell a property off-market, you must still comply with all standard legal obligations, including:

• entering into a valid Property Occupations Form 6 Appointment of Property Agent (PO Form 6) with the seller/s;
• preparing a valid and legally binding contract of sale;
• giving a buyer a Queensland Government statutory Form 2 Seller Disclosure Statement and prescribed certificates for the property, before the buyer signs the contract;
• disclosing any other material facts about the property; and
• ensuring compliance with safety regulations (e.g., smoke alarms).

Read more about the seller disclosure requirements here.

Managing Seller’s Disclose for Off-market Sales

It is important to be clear with the seller from the outset that if they want to sell their property, that a Form 2 will be needed and that this will incur some costs to the seller.

Having this conversation early will ensure that the seller’s expectations are managed from the start and will also help you gauge if the seller is ready to sell their property.

When discussing the appointment with the seller, direct them to the Disclosure Instructions and Search Authority and note that you will need their instructions to get the ball rolling on preparing a draft Form 2 and ordering any searches needed for the Form 2.It may be the case that the seller is happy for you to start preparing a draft Form 2, without necessarily ordering searches until a formal offer is received.

Waiting to do searches will of course cause some delay for a buyer signing a contract, because the Form 2 and any prescribed certificates must be given to the buyer before the buyer signs the contract.It may be the case that the parties are happy to wait for an off-market transaction.

If you have any questions about managing off-market transactions, REIQ Members can call our Agency Advisory service on 1300 697 347 or ask@reiq.com.au.

Read more articles about property sales.