Buyer guide · Updated
The building and pest clause and cooling off period in QLD, explained
In Queensland the building and pest clause makes your purchase conditional on getting satisfactory building and pest reports by the Inspection Date written in the contract, with notice due by 5pm on that date. It is separate from the cooling off period, which is 5 business days for most residential sales and does not apply at auction.
Quick timeline
General information only, not legal advice. Your conveyancer or solicitor will confirm the dates and wording in your contract.
How the building and pest condition works
The standard REIQ contract for houses and residential land includes a building and pest inspection condition. It only applies if an Inspection Date is filled in on the front of the contract. By that date you need to obtain a written building report and a written pest report (which can be one combined report).
If a report is not satisfactory to you, acting reasonably, you can give the seller written notice to terminate the contract before 5pm on the Inspection Date, and your deposit is refunded. If you miss that deadline you can lose the ability to rely on the clause, so do not leave it to the last day.
How long is the inspection period? It is negotiated. Many Brisbane contracts allow somewhere around 7 to 14 days, but it can be shorter in a hot market. Make sure the date gives you enough time to book, inspect, read the report and talk to your conveyancer.
The cooling off period
For most residential sales in Queensland, the buyer has a cooling off period of 5 business days, starting when you receive a copy of the contract signed by both parties and ending at 5pm on the fifth business day. If you terminate during cooling off, the seller can keep up to 0.25% of the purchase price.
- There is no cooling off period at auction, and generally none for contracts signed shortly after a property is passed in at auction by a registered bidder.
- Cooling off can be waived or shortened. Talk to your conveyancer before you agree to that.
- Cooling off and the building and pest condition are separate. You can have both running at once, but they end at different times.
New seller disclosure since 1 August 2025
Since 1 August 2025, Queensland sellers must give buyers a disclosure statement and certain prescribed certificates before the contract is signed. The statement covers things like title, zoning, flood and other searches, but it does not include a building and pest report. You still need your own inspection to understand the condition of the home.
When should I book my inspection?
As soon as your offer is accepted, or before you sign if you can. Booking early leaves time to fix access problems, attend the inspection, read the report and get quotes for any repairs before 5pm on the Inspection Date. If you are buying at auction or making an unconditional offer, inspect before, because there will be no building and pest condition to fall back on.
What if the report is bad?
A report full of minor items is normal for an older home. If there are major defects or termite damage, your options usually are:
- Proceed knowing the costs.
- Negotiate a price reduction or repairs before settlement, documented properly by your conveyancer.
- Ask for more time to get a specialist opinion, such as an engineer or licensed pest manager, if the seller agrees.
- Terminate under the building and pest condition before the deadline.
Call us before you decide. We will explain what the findings mean in practical terms, which is part of every Forsite inspection.
Who pays and can I use the seller's report?
The buyer usually pays for their own inspection. A seller's pre-sale report is written for the seller. Your conveyancer can advise whether relying on someone else's report is appropriate, but most buyers get their own.
General information for Queensland buyers, current at the date above. It is not legal or financial advice. Your conveyancer or solicitor can advise on your contract.