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Buying by state

Buying a home in Victoria

How the cooling-off period, the contract, auctions, the deposit and settlement work in Victoria, with every rule linked to the government source it comes from.

Jurisdiction: Victoria only. Each state sets its own rules for cooling-off, disclosure, auctions and deposits, so these rules do not carry over to a purchase in another state.Sources last verified: 21 Oct 2026By Delora editorial teamChange history

Key points

Cooling-off period

  • A cooling-off period of three clear business days applies to private sales of residential and small rural property in Victoria. It begins from the date the buyer signs the contract, not the date the seller signs it. (Consumer Affairs Victoria, verified 30 Jul 2026)
  • If a buyer exercises their cooling-off right on a Victorian private sale, they are entitled to a refund of any money paid, less $100 or 0.2% of the purchase price, whichever is greater. (Consumer Affairs Victoria, verified 30 Jul 2026)
  • Victoria's private-sale cooling-off period does not apply if: the property was bought at public auction or within three clear business days before or after one; the property is used mainly for industrial or commercial purposes; the property is rural land over 20 hectares used mainly for farming; the buyer previously signed a contract for the same property on substantially the same terms; or the buyer is an estate agent or a corporate body. (Consumer Affairs Victoria, verified 30 Jul 2026)
  • There is no cooling-off period for a property bought at auction in Victoria. If a pre-auction offer is accepted less than three clear business days before the scheduled auction, the buyer also forfeits the cooling-off period. (Consumer Affairs Victoria, verified 30 Jul 2026)

The contract and the seller's disclosure

  • In Victoria, a vendor's statement (Section 32) is required under section 32 of the Sale of Land Act 1962 (Part II, Division 2) and must be given to the buyer before they sign the contract of sale. (Consumer Affairs Victoria, verified 30 Jul 2026)
  • A Victorian Section 32 vendor statement must disclose information about the property's title including mortgages, covenants and easements, the zoning that applies, outgoings such as rates, and whether the land is declared to be in a bushfire-prone area. For a property in an owners corporation, an owners corporation certificate and its accompanying documents must be included. (Consumer Affairs Victoria, verified 30 Jul 2026)
  • A Section 32 gives information about the property's title (such as mortgages, covenants, easements, zoning, outgoings and whether it is in a bushfire-prone area). It does not cover building condition, building-regulation compliance or whether the title's measurements are accurate; the buyer must investigate those separately. (Consumer Affairs Victoria, verified 21 Oct 2026)
  • A buyer makes an offer by signing the contract of sale, and the property is sold when the seller also signs it. The contract of sale sets out the property details, the names of the seller and buyer, the estate agent (if used), the legal practitioners or conveyancers engaged, the price, the deposit, the balance owing at settlement and any special conditions such as a 'subject to finance' clause, and must say whether the price includes GST and, if so, the amount. (Consumer Affairs Victoria, verified 21 Oct 2026)
  • A private-sale buyer can negotiate conditions such as loan approval ('subject to finance', naming the lender), the sale of an existing property, or a satisfactory building or pest inspection. An auction buyer cannot add such conditions without the seller's agreement. (Consumer Affairs Victoria, verified 30 Jul 2026)
  • From 1 June 2027, Victorian agents must make the Section 32 vendor statement available within 14 days after a private sale is advertised, at least 14 days before an auction or fixed-date sale, and in any case before the buyer signs the contract if the property isn't advertised or sells within 14 days of being advertised. (Consumer Affairs Victoria, verified 27 Sep 2026)

Buying at auction

  • A buyer cannot make an auction contract subject to further conditions — such as obtaining finance or a longer settlement period — unless the seller agrees to them. (Consumer Affairs Victoria, verified 30 Jul 2026)
  • From 1 October 2026, for auctions and fixed-date sales held on or after 16 October 2026, a Victorian estate agent must publish the seller's reserve price at least 7 days before the auction or fixed-date sale, update all advertising (including the Property Price Statement) to show it, and state it as a single dollar amount without words or symbols such as 'from', 'over', '+' or 'starting at'. If the reserve hasn't been published 7 days beforehand, the auction or fixed-date sale cannot go ahead. (Consumer Affairs Victoria, verified 27 Sep 2026)
  • A vendor bid is made on behalf of the seller when the seller is not satisfied with the last bid. It can only be made by the auctioneer and must be announced when made; vendor and co-owner bid arrangements must be set out in the auction rules displayed before the auction and announced by the auctioneer at its start. (Consumer Affairs Victoria, verified 30 Jul 2026)
  • Dummy bidding — a false bid invented by the auctioneer, or a bid accepted from a non-genuine bidder to influence the sale price — is illegal and attracts significant penalties. An auctioneer must not knowingly accept a bid made by or for the seller outside the vendor-bid rules, or falsely acknowledge a bid that was never made. (Consumer Affairs Victoria, verified 30 Jul 2026)
  • If bidding does not meet the seller's reserve, the property is 'passed in'. The highest bidder then gets first right to negotiate a price with the seller; if they cannot agree, the agent may approach another bidder, and if no buyer agrees a price the property may go to private sale. If the agent later advertises at the passed-in amount, they must disclose whether it was a vendor bid. (Consumer Affairs Victoria, verified 30 Jul 2026)

Every auction rule in Victoria, from registering to a passed-in property: buying at auction in Victoria.

The deposit

  • Victorian law sets no required auction deposit amount, but it is usually 10% of the purchase price. A buyer who pays less than they were prepared to for the winning bid will find their prepared deposit is more than 10% of the actual sale price. (Consumer Affairs Victoria, verified 30 Jul 2026)
  • A post-auction deposit must be held in trust by the seller's estate agent, conveyancer or legal practitioner until settlement, and can only be released to the seller before settlement if the buyer agrees. A seller without an agent must deposit it with their own legal practitioner/conveyancer or into a special purpose account held in both parties' names. (Consumer Affairs Victoria, verified 30 Jul 2026)
  • A private-sale deposit is held in trust by the agent or the parties' conveyancer/legal practitioner until settlement. It can only be released to the seller before settlement if the contract is unconditional, the buyer is satisfied with the proof-of-debts information provided, and not until 28 days after the contract was signed. (Consumer Affairs Victoria, verified 30 Jul 2026)
  • From 1 July 2027, Victoria's existing process for early release of a deposit is repealed: sellers and buyers can instead agree to early release by including a condition in the contract. From the same date an agent must not take commission directly from a deposit released before settlement or rescission of the contract. (Consumer Affairs Victoria, verified 27 Sep 2026)

Settlement

  • At settlement in Victoria, three things happen: the buyer pays the balance of the purchase price to the seller, the buyer receives the property title and becomes the registered owner, and the buyer takes possession of the property (unless otherwise arranged). Settlement is usually conducted between the buyer's and seller's legal practitioners or conveyancers and lenders, not the buyer and seller directly. (Consumer Affairs Victoria, verified 29 Jul 2026)
  • Victorian buyers are entitled to inspect the property at any reasonable time during the week before settlement. The contract requires the seller to return the property in the same condition as when it was sold, so a buyer should use this inspection to confirm all contract-listed items are present and undamaged, and raise any new damage before settlement. (Consumer Affairs Victoria, verified 29 Jul 2026)
  • A Victorian buyer should arrange building insurance to take effect from when the seller signs the contract of sale, not from settlement day, since the buyer carries an insurable interest in the property from contract signing even though the seller's own insurance typically remains in place until settlement. (Consumer Affairs Victoria, verified 29 Jul 2026)
  • Land transfer duty must be paid before the property transfer can be registered, usually at settlement. If it isn't paid within 30 days of settlement, penalty tax and interest may apply. (State Revenue Office Victoria, verified 31 Jul 2026)

Consumer Affairs Victoria's pages do not give a usual settlement period: the contract sets it.

Buying in another state

The same five steps work differently across the border. Compare them on buying a home by state, or go straight to New South Wales, Queensland, Western Australia, South Australia.

Practical checklist

Before you sign in Victoria

  • Read the seller's disclosure documents with your own conveyancer, settlement agent or lawyer
  • Check whether a cooling-off period applies to the way you are buying (private sale or auction)
  • Make sure any condition you rely on, such as finance or an inspection, is written into the contract
  • Confirm the deposit amount, when it is due and who will hold it
  • Put the settlement date, and every deadline before it, in your calendar

Questions for a professional

  • Does a cooling-off period apply to this contract, and when exactly does it end?
  • Which disclosure documents has the seller given me, and is anything missing?
  • What conditions are in this contract, and what happens if one is not met?
  • When is the deposit due, and when can it be released to the seller?

Official resources

Important limitations: This is general information about how buying works in Victoria, not legal advice about any contract. The rules change; the date on each citation is when Delora last checked that source. A conveyancer, settlement agent or lawyer should confirm how they apply to your purchase.

Sources and methodology

Figures on this page are drawn from Delora's local knowledge graph, refreshed from these primary sources and checked for changes on a regular schedule. If a figure here looks out of date, the official source above is always the authority — please let us know.

Evidence record

Written by
Delora editorial team
Jurisdiction
Victoria only. Each state sets its own rules for cooling-off, disclosure, auctions and deposits, so these rules do not carry over to a purchase in another state.
Content type
Guide (general information, not legal advice)
Last reviewed
2026-11-05
Sources
See "Sources and methodology" above for cited sources
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