Property Law Act Australia: A Complete 2026 Guide for Buyers, Sellers, Landlords and Foreign Investors
Property law in Australia sits at the intersection of state legislation, federal oversight, and evolving regulatory reform. Whether you are buying a home, investing in commercial real estate, leasing commercial space, or navigating the rules that apply to foreign ownership, the Property Law Act framework that governs your transaction has changed significantly since 2025 and continues to evolve in 2026.
This guide explains how the Property Law Act operates across Australia's key jurisdictions, what changed with Queensland's landmark Property Law Act 2023 that commenced on 1 August 2025, how New South Wales reformed its conveyancing law in the same period, and what every buyer, seller, landlord, and foreign investor needs to understand before entering a property transaction today.
CollinsQuarters provides property and conveyancing legal services across Australia, including for clients with cross-border investment interests connected to India and Malaysia. Our property and conveyancing practice and investment and market entry team work together on transactions that span multiple jurisdictions. If you are buying, selling, or investing, our consultation service is the starting point.
What the Property Law Act Does and Why It Matters in Australia
Australia does not have a single national Property Law Act. Instead, each state and territory operates its own primary property legislation, historically inherited from English common law, with significant variation in how contracts for sale, easements, covenants, leases, and title registration are governed.
The key statutes are the Property Law Act 1958 in Victoria, the Conveyancing Act 1919 in New South Wales, the Property Law Act 1974 in Queensland (now replaced by the Property Law Act 2023 from 1 August 2025), the Property Law Act 1969 in Western Australia, the Law of Property Act 1936 in South Australia, and equivalent legislation in Tasmania, the ACT, and the Northern Territory.
Despite this fragmentation, the core principles of Australian property law are broadly consistent across jurisdictions: a contract for the sale of land must be in writing, title must be registered under the Torrens system to be binding on third parties, disclosure obligations attach to sellers, and equitable remedies remain available alongside statutory ones. The differences arise in exactly how these principles are implemented, what must be disclosed, how easements and covenants are enforced, how leases are managed, and what remedies are available when things go wrong.
For buyers, sellers, landlords, tenants, and foreign investors operating across more than one state, understanding these jurisdictional differences is not optional. Our property lawyers in Melbourne, property lawyers in Sydney, and property lawyers in Brisbane regularly advise clients on transactions that cross state lines or involve properties in multiple jurisdictions.
Queensland Property Law Act 2023: The Most Significant Reform in Five Decades
The most far-reaching change to Australian property law in recent years is the commencement of Queensland's Property Law Act 2023 on 1 August 2025, replacing the Property Law Act 1974 that had been in force for more than fifty years. The new Act introduces changes across seller disclosure, leasing, easements, covenants, limitation periods, and settlement procedures that affect every property transaction in Queensland from that date.
Mandatory Seller Disclosure in Queensland
Before 1 August 2025, Queensland was the only major Australian state without a comprehensive statutory seller disclosure regime for the sale of existing freehold lots. That gap is now closed. Under the Property Law Act 2023, sellers must provide a disclosure statement in the prescribed form, along with a set of prescribed certificates, to buyers before the buyer signs a contract or option.
The new seller disclosure requirements apply to contracts and options entered into from 1 August 2025, unless an exception applies, and the changes are largely buyer-friendly. The disclosure statement captures information about encumbrances, land use, buildings and structures, rates and services, and community titles scheme membership.
Sellers who fail to provide compliant disclosure risk the buyer exercising a right to terminate the contract within a defined period after receiving deficient documents. For sellers and their agents in Queensland, the practical implication is that preparing a compliant disclosure package before going to market, rather than at the time of signing, is now best practice. Our property lawyers in Brisbane and property lawyers on the Gold Coast prepare seller disclosure packages and review contract documentation for Queensland transactions.
Easements and Positive Covenants Now Running with the Land
One of the most practically significant changes under the Property Law Act 2023 is the treatment of covenants in registered easements. Under the 1974 Act, positive covenants, meaning obligations requiring the landowner to do something rather than simply refrain from an action, were not enforceable against a successor in title. This created real difficulties where infrastructure maintenance or shared facility obligations were recorded in an easement but the burdened land was subsequently sold.
Under the 2023 Act, both positive and negative covenants contained in a registered easement over land relating to the use, ownership or maintenance of the burdened land will bind the grantor and the grantee of the easement, as well as their respective successors in title. This change applies retrospectively to covenants in existing registered easements, unless the covenant was expressed to be personal to the original parties.
For commercial property owners, developers, and body corporates, this change means that maintenance and infrastructure obligations recorded in easements are now enforceable against current and future landowners. Due diligence searches on easements now need to address not only the existence of the easement but the positive obligations it imposes.
Shorter Limitation Period for Actions Under Deeds
The Property Law Act 2023 reduces the limitation period for bringing an action under a deed from twelve years to six years, aligning it with the general contractual limitation period. This change only applies to deeds entered into from 1 August 2025, so it does not apply retrospectively. Parties relying on deed-based obligations in older transactions are not affected, but all new deeds executed from that date are subject to the shorter period.
This matters in practice for vendors and purchasers relying on deed warranties, developers who issue guarantees or indemnities by deed, and lenders who take security by deed. The shorter window for enforcement means potential claims need to be identified and actioned more quickly.
Settlement Extensions for Adverse Events
The Property Law Act 2023 introduces a new mechanism allowing settlement to be extended where an adverse event prevents a party from completing on the nominated date. When an adverse event such as a public health emergency, significant weather event, or act of public disturbance occurs, time ceases to be of the essence and the affected party is not treated as being in breach, provided they have taken reasonable steps to mitigate.
This settlement extension mechanism addresses a genuine practical gap that was exposed during the COVID-19 period, when settlements were frequently disrupted by events beyond the control of either party and the existing legislation provided limited protection to buyers and sellers alike.
New South Wales Property Law Reforms: Conveyancing Act Changes from 2025
New South Wales did not pass a comprehensive new Property Law Act equivalent to Queensland's 2023 Act, but the Conveyancing and Real Property Amendment Act 2025 introduced a series of targeted reforms to the Conveyancing Act 1919 that apply to all NSW residential property transactions.
These amendments have effect from 15 August 2025, with transitional provisions applying so that a contract or option can include either the old or new form of cooling off notice up until 31 May 2026. Contracts exchanged on and from 1 June 2026 must include the prescribed cooling off notice as amended.
The NSW amendments also clarified that vendor disclosure requirements and cooling off provisions apply to put options as well as call options in residential property transactions, resolving uncertainty that had arisen from prior court decisions. A positive covenant for maintenance or repair and restrictions on land use imposed by a prescribed authority can now also be released by an instrument lodged with a plan under section 88B of the Conveyancing Act.
Our property lawyers in Sydney and property lawyers in Parramatta advise on NSW contracts using the updated 2026 standard form issued jointly by the Law Society of New South Wales and the Real Estate Institute of New South Wales, which reflects these changes.
Foreign Investment and the Property Law Act: FIRB Rules in 2026
A critical overlay on Australia's property law framework for any buyer who is not an Australian citizen or permanent resident is the foreign investment approval regime administered by the Foreign Investment Review Board and the Australian Taxation Office under the Foreign Acquisitions and Takeovers Act 1975.
In 2026, the foreign investment rules for residential property are more restrictive than at any point in recent memory. The Government has extended the temporary ban on foreign purchases of established residential dwellings by two years and three months until 30 June 2029. The ban was originally implemented for two years from 1 April 2025. This means that until 30 June 2029, foreign persons including temporary residents and foreign-owned companies cannot purchase an existing home in Australia, unless a limited exception applies.
Foreign buyers can still acquire new dwellings, off-the-plan properties, and vacant land for development with FIRB approval. The exemptions to the established dwelling ban include purchases that will significantly increase housing supply and certain purchases by New Zealand citizens. Foreign buyers purchasing jointly with an Australian citizen or permanent resident spouse as joint tenants may also qualify for an exemption from the FIRB approval requirement, though this exemption does not extend to purchases made as tenants in common.
For Indian and other overseas investors seeking to acquire property in Australia, FIRB approval must be obtained before entering an unconditional contract. Purchasing without approval is a breach of Australian law and can result in forced sale orders, substantial financial penalties, and in serious cases, criminal liability.
CollinsQuarters' investment and market entry practice handles FIRB applications and compliance advice for foreign buyers acquiring residential and commercial property in Australia. Our FIRB lawyer services in Melbourne, FIRB lawyer services in Sydney, and FIRB lawyer services in Brisbane are available to overseas buyers at every stage of the acquisition process. Our India practice also advises Indian investors on the interaction between Australian FIRB rules and any Indian foreign exchange or regulatory requirements that apply to outbound investment.
For a detailed guide to the FIRB regime, our blog post on FIRB compliance and navigating the national interest test and our guide on can foreigners buy property in Australia set out the current rules in full.
Property Law Act and Commercial Property: Key Principles for Investors
While much of the recent reform activity has focused on residential transactions, Australia's property law framework also governs commercial property acquisition, leasing, and development. Commercial property transactions are generally not subject to cooling off rights or the residential seller disclosure regimes, but they are governed by the same underlying framework of contract law, Torrens title registration, and equitable remedies.
For commercial property investors, particularly those investing through corporate structures, trusts, or joint ventures, the property law framework intersects directly with corporate and commercial law. Our corporate and commercial practice and mergers and acquisitions team regularly work alongside our property lawyers on commercial acquisitions, development joint ventures, and sale and leaseback transactions where the property, corporate, and tax dimensions all need to be managed together.
For foreign corporate investors in commercial property, FIRB thresholds differ from those applicable to residential property. Acquisitions of commercial real estate by foreign investors generally do not require FIRB approval below a threshold of AUD 330 million for developed commercial property, though lower thresholds apply for heritage-listed properties and for acquisitions by investors from countries without a free trade agreement with Australia. Our FIRB lawyer services in Perth and FIRB lawyer services in Adelaide advise commercial investors on whether their transaction triggers FIRB review.
Property Law Act and Dispute Resolution: When Property Transactions Go Wrong
Despite the best preparation, property transactions sometimes result in disputes, whether over contract terms, non-disclosure by a seller, defects in title, breach of easement obligations, or failure to complete settlement. Australian property law provides both statutory and equitable remedies for aggrieved parties.
Under the Property Law Act frameworks across jurisdictions, buyers may be entitled to terminate a contract and recover their deposit where a seller has failed to comply with disclosure obligations, where a condition has not been satisfied, or where a material misrepresentation has been made. Sellers may pursue specific performance where a buyer refuses to complete, or damages where a contract is terminated by a buyer who was not entitled to do so.
Our dispute resolution practice handles property-related disputes including contract termination claims, conveyancing disputes, easement and covenant enforcement, and landlord and tenant matters across all Australian jurisdictions. Our dispute resolution lawyers in Melbourne and dispute resolution lawyers in Sydney provide urgent advice on property disputes where settlement deadlines are approaching or where a contract termination is being threatened.
Property Law Act Across Australia: City-Specific Guidance
The state-by-state nature of Australian property law means that a property transaction in Queensland is governed by different rules from one in Victoria or New South Wales. For buyers, sellers, and investors operating across multiple cities, having property lawyers who understand the specific state framework applicable to each transaction is essential.
CollinsQuarters provides property and conveyancing legal services in all major Australian cities:
- Property lawyers in Melbourne for Victorian Property Law Act 1958 transactions.
- Property lawyers in Sydney for NSW Conveyancing Act 1919 transactions, including the updated 2026 contract form.
- Property lawyers in Brisbane for Queensland Property Law Act 2023 transactions, including the new seller disclosure regime.
- Property lawyers in Perth for Western Australian Property Law Act 1969 transactions.
- Property lawyers in Adelaide for South Australian Law of Property Act 1936 transactions.
- Property lawyers on the Gold Coast and property lawyers on the Sunshine Coast for Queensland transactions under the new 2023 Act.
- Property lawyers in Canberra for ACT transactions, noting that the ACT Property Developers Act 2024 licensing regime is expected to commence in 2026.
- Property lawyers in Hobart and property lawyers in Darwin for Tasmanian and Northern Territory transactions respectively.
For corporate and commercial property matters across any of these jurisdictions, our corporate lawyers in Melbourne and corporate lawyers in Sydney work with the property team on acquisitions and development transactions that require both legal disciplines.
Wills, Estates and Property Law: What Happens to Property After Death
Property law does not only govern transactions between living parties. The distribution of real property after death, whether under a will or on intestacy, is governed by the intersection of the Property Law Act framework and state-based succession legislation. Key issues include the transmission of jointly held property by survivorship, the vesting of individually held property in the estate, and the obligation of executors and administrators to manage and distribute real property in accordance with the terms of the will or the applicable intestacy rules.
Where a deceased person held property in both Australia and overseas, including in India, the question of which country's law governs the distribution of each parcel of land is determined by the law of the place where that land is situated. This can create significant complexity for Australian residents with family property in India, or for Indian nationals who held Australian real estate at the time of their death.
Our wills and estates practice and our wills and estates lawyers in Melbourne and wills and estates lawyers in Sydney advise on the property law implications of estate administration, including the transfer of real property to beneficiaries, the sale of estate property, and cross-border succession matters. Our India practice supports the India dimension of estate matters where Australian and Indian property interests are involved.
Frequently Asked Questions About the Property Law Act in Australia
Is there one Property Law Act that applies across all of Australia?
No. Each state and territory has its own primary property legislation. The key Acts are the Property Law Act 1958 in Victoria, the Conveyancing Act 1919 in NSW, the Property Law Act 2023 in Queensland (commenced 1 August 2025), the Property Law Act 1969 in Western Australia, and the Law of Property Act 1936 in South Australia.
What changed under Queensland's Property Law Act 2023?
Queensland's Property Law Act 2023 commenced on 1 August 2025 and introduced mandatory seller disclosure for freehold lot sales, made positive covenants in registered easements binding on successors in title, reduced the limitation period for deeds from twelve to six years, and introduced settlement extension rights for adverse events.
Can a foreign buyer purchase property in Australia in 2026?
Foreign buyers can purchase new dwellings, off-the-plan properties, and vacant residential land with FIRB approval, but are banned from purchasing established dwellings until 30 June 2029 under the current policy. FIRB approval must be obtained before entering an unconditional contract.
Do property easements need to be in writing under Australian property law?
Yes. Legal interests in land, including easements, generally must be created in writing to be enforceable. Under Queensland's Property Law Act 2023 and equivalent legislation in other states, registered easements and the positive and negative covenants they contain are enforceable against successors in title where the obligations relate to the use, ownership, or maintenance of the burdened land.
What does a seller have to disclose under the Property Law Act?
Seller disclosure obligations vary by state. Queensland's Property Law Act 2023 introduced a comprehensive mandatory disclosure regime from 1 August 2025. Victoria requires a vendor statement, and NSW requires disclosure through the contract for sale. The specific content, timing, and consequences of non-disclosure differ across jurisdictions.
What happens when a property settlement cannot proceed on the scheduled date?
Queensland's Property Law Act 2023 introduced a statutory mechanism allowing settlement to be extended where an adverse event prevents completion, with time ceasing to be of the essence during that period. Other jurisdictions generally treat failure to settle as a breach, though a party may seek an extension by agreement or through the courts.
What is the limitation period for bringing a property law claim in Australia?
General contractual claims, including most property contract disputes, are subject to a six-year limitation period. Under Queensland's new Act, claims under deeds entered into from 1 August 2025 are also subject to a six-year period, reduced from the previous twelve years. Claims relating to title or adverse possession may be subject to different periods under the relevant Limitation Acts.
How does the Property Law Act interact with FIRB for foreign investors?
The Property Law Act governs the form and enforceability of the property contract and the conveyancing process, while FIRB approval under the Foreign Acquisitions and Takeovers Act 1975 is a separate federal requirement. Both must be satisfied for a foreign buyer's acquisition to be valid. FIRB approval must generally be obtained before the contract becomes unconditional.
Speak With CollinsQuarters About Your Property Law Matter
Whether you are buying or selling residential property, leasing commercial space, investing in Australian property from overseas, or dealing with a property dispute or estate administration involving real estate, the property law framework that governs your transaction has changed significantly in the last twelve months and continues to be shaped by new legislative reforms in 2026.
CollinsQuarters property and conveyancing lawyers work across all Australian jurisdictions and provide integrated advice that brings together our property, corporate, FIRB, dispute resolution, and cross-border practice groups when your matter requires more than one area of expertise.
Inquire now to speak with our property law team, or book a consultation to discuss your transaction or dispute with a CollinsQuarters property lawyer today.
