Property law: clear answers to common questions

The standard settlement period for residential property transactions in New South Wales is 42 days (6 weeks) from the date of exchange of contracts. However, this period is not fixed by law and can be negotiated between the buyer and the seller before contracts are exchanged.

A shorter settlement (e.g., 30 days) or a longer settlement (e.g., 60 or 90 days) can be agreed upon depending on the requirements of both parties, such as securing finance or organizing relocation.

In NSW, residential property sales usually carry a statutory cooling-off period of 5 business days after contracts are exchanged. During this time, the buyer can pull out of the contract by giving written notice. If the buyer decides to rescind during this period, they forfeit 0.25% of the purchase price to the seller.

Please note that there is no cooling-off period if you buy a property at auction, or if you sign a Section 66W certificate waiving your cooling-off rights.

Retail leases are governed by the Retail Leases Act 1994 (NSW), which provides strict protections for tenants. This includes mandatory disclosure statements, limits on how outgoings are charged, and a minimum lease term of five years (unless waived by a solicitor's certificate).

Commercial leases (for offices, warehouses, or industrial sites) are governed primarily by the terms of the lease agreement itself and the common law, allowing for greater flexibility and negotiation but fewer statutory protections.

An easement is a legal right to use another person's land for a specific purpose (such as a right of way, or for drainage and electricity services). If your property has an easement, you generally cannot build permanent structures over it without the consent of the authority or person who benefits from the easement.

We advise conducting detailed title searches and surveying before commencing design work to ensure your development does not encroach on any registered easements.