Property due diligence
The cooling-off period
The real length, start date, refund calculation and full exclusion list for Victoria's private-sale cooling-off period — not just "three days".
- Three clear business days, starting the day after the buyer signs — not the seller.
- The refund on withdrawal is money paid less $100 or 0.2% of the price, whichever is greater.
- Auction purchases, and private sales signed within 3 days of that property's auction date, get no cooling-off at all.
- Also excluded: mainly industrial/commercial property, rural land over 20 hectares used mainly for farming, a repeat contract on the same terms, and agent/corporate buyers.
The real length and start date
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) — so it can already be running before the sale is even fully agreed. "Clear business days" excludes weekends and public holidays, and counting starts the day after signing.
The refund isn't 100%
If a buyer exercises their cooling-off right, they're 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). On a $700,000 property, 0.2% is $1,400 — more than the flat $100 — so the buyer would forfeit $1,400, not $100.
The full exclusion list
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 (Consumer Affairs Victoria, verified 30 Jul 2026); 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). The auction-proximity exclusion catches the most buyers by surprise — it applies to a private-sale contract too, not just an actual auction purchase.
Worked example
A buyer signs a private-sale contract on a $700,000 townhouse on a Monday. Tuesday, Wednesday and Thursday are clear business days, so the cooling-off period runs until close of business Thursday. If they withdraw on Wednesday, they forfeit $1,400 (0.2% of $700,000, which is greater than $100) and get the rest of their deposit back.
Practical checklist
If you're relying on cooling-off
- Confirm the property wasn't advertised for auction within the last/next 3 clear business days
- Calculate the exact end date, excluding weekends and public holidays
- Know the forfeit amount (greater of $100 or 0.2% of price) before you sign
- Don't treat cooling-off as a substitute for finance or inspection conditions
Relevant Delora tool
Questions for a professional
- Does cooling-off actually apply to this specific contract?
- What is the exact cooling-off end date for this contract?
Official resources
- Consumer Affairs Victoria: Buying property by private sale
- Consumer Affairs Victoria: Buying property at auction
Sources and methodology
- Buying property by private sale — Consumer Affairs Victoria (retrieved 30 Jul 2026)
- Buying property at auction — Consumer Affairs Victoria (retrieved 30 Jul 2026)
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.