REIQ Contract Traps: 5 Critical Clauses QLD Buyers Must Read

The ultimate guide to the standard REIQ contracts used in QLD real estate, covering residential, commercial, and tenancy agreements.

When you’re buying, selling, or renting property in Queensland, you’ll inevitably encounter a REIQ Contract. But what exactly is it, and why is it so important? This isn’t just a simple piece of paper; it’s the foundation of almost every real estate transaction in the state, from a residential house sale to a commercial purchase.

At Spot On Conveyancing, our experienced conveyancing lawyers and solicitors have been working with these contracts for years. We understand every clause, every condition, and the legal implications for both buyers and sellers. We’ve written this detailed guide to help demystify the REIQ Contract for you, providing the expertise and confidence you need to navigate your next property transaction successfully.

By the end of this article, you’ll have a clear understanding of:

  • What a REIQ Contract is and who uses it.
  • The different types of REIQ contracts, including residential, commercial, and tenancy agreements.
  • The key clauses and conditions you need to be aware of.
  • How to properly fill out a REIQ contract to avoid common mistakes.
  • The role of a conveyancer and other professionals in the process.


The Foundation of Queensland Real Estate: Understanding the REIQ Contract

The REIQ Contract is a standard form of contract used for the sale and purchase of real estate in Queensland. It is a collaborative document, jointly prepared and endorsed by the Real Estate Institute of Queensland (REIQ) and the Queensland Law Society (QLS). This partnership ensures the contracts are legally compliant, balanced, and reflect the latest changes in property law and legislation.

Real estate agents and solicitors across the state use these contracts as a standard template, which provides a level of certainty and consistency in transactions. Instead of every sale requiring a bespoke, legally-drafted document from scratch, the REIQ standard contract provides a comprehensive and trusted framework. This standardisation streamlines the conveyancing process, making it more efficient for all parties involved.

The contracts are regularly updated to reflect new laws and technologies, such as the move towards electronic conveyancing. These updates are crucial, as they introduce new protections and obligations for both sellers and buyers. For instance, recent updates have included clauses related to smoke alarm compliance, pool safety certificates, and a five-day extension on the settlement date, giving both parties more flexibility. You can find detailed information about these updates on the Queensland Law Society website.

Types of REIQ Contracts: More Than Just a House Sale

While the most common use of the REIQ contract is for residential property sales, it’s important to know that the REIQ publishes a range of contracts to suit different types of transactions.

From 1 August 2025, the Queensland Law Society and the Real Estate Institute of Queensland (REIQ) have prepared the new Contract for Sale and Purchase of Residential Real Estate (1st edition) and Contract for the Sale and Purchase of Commercial Real Estate (1st edition).

1. REIQ Residential Contracts

There is now one REIQ Contract you will encounter whether you are buying or selling a home, unit, apartment, townhouse or vacant land. 

A key feature of these contracts is that they include a cooling-off period for the buyer, which is a statutory right under Queensland law. This five-business-day period gives the buyer time to conduct due diligence and withdraw from the contract if they choose, subject to a termination penalty of 0.25% of the purchase price.

2. REIQ Commercial Contracts

For business and commercial property transactions, the REIQ offers specialised contracts, including:

  • REIQ Business Sale Contract: This is used for the sale of a business as a going concern, and it includes clauses related to goodwill, plant and equipment, stock, and staff entitlements. This is a highly complex area, and the contract is designed to protect both the buyer and the seller.

  • Contract for Sale and Purchase of Commercial Real Estate (1st edition)  This is the equivalent of the residential contract, but for commercial properties (warehouses, units, vacant commercial land or stand alone).

  • REIQ Commercial Tenancy Agreement (5th edition): This standard document is used for leasing commercial premises. It covers essential terms like rent, outgoings, and the length of the lease.

It’s crucial to understand that REIQ commercial tenancy agreement is often a simplified document and may not offer the same level of protection as a professionally drafted, lawyer-prepared lease. 

For high-value, long-term, or complex commercial arrangements, seeking legal advice to draft a custom lease is highly recommended. You can find more information on commercial leasing and your rights as a small business tenant on the Queensland Government’s Business Queensland website.

3. REIQ Lease and Rental Agreements

In the property management and rental space, the REIQ provides several essential forms, including the REIQ rental contract, which is officially known as a General Tenancy Agreement.

  • Form 18a – General Tenancy Agreement: This is the standard residential tenancy agreement used for renting houses, units, and apartments in Queensland. It is a legally prescribed form under the Residential Tenancies and Rooming Accommodation Act 2008. The terms and conditions are set by law and cannot be changed. This ensures consistency and fairness for all renters and property owners.



Deconstructing the REIQ Contract: Key Sections and What They Mean

A REIQ contract is typically divided into two main sections: the Reference Schedule and the Standard Terms of Contract.

The Reference Schedule

This is the fillable, front section of the contract where all the specific details of the transaction are listed. This includes:

  • The Parties: Full and legal names of the buyer(s) and seller(s).
  • Property Details: Address, lot and plan number, and title reference.
  • Purchase Price: The total price and the deposit amount.
  • Settlement Date: The date by which the transaction must be finalised.
  • Conditions: Critical clauses such as finance and building and pest inspections.

The Standard Terms of Contract

This is the second part of the contract, consisting of a pre-printed set of legal clauses and conditions that govern the entire transaction. These terms are not negotiable, but they can be altered by adding Special Conditions to the Reference Schedule.

Key clauses in the Standard Terms include:

  • Finance Condition (Clause 3): If the box in the Reference Schedule is ticked, this clause makes the contract subject to the buyer obtaining satisfactory finance by a specific date. If finance is not approved, the buyer can terminate the contract and get their deposit back.

  • Building and Pest Condition (Clause 4): This allows the buyer to conduct a building and pest inspection by a specific date. If the report is unsatisfactory, the buyer can terminate the contract.

  • Time is of the Essence (Clause 6): This is a critical clause. It means that all dates and times specified in the contract must be strictly adhered to. Failure to meet a deadline can result in a party being in breach of the contract.

  • Risk (Clause 8): This clause states that the property is at the buyer’s risk from 5:00 pm on the first business day after the contract date. This is why it is essential for the buyer to arrange building insurance immediately after signing.


How to Fill Out a REIQ Contract: Avoiding Costly Errors

Properly completing the Reference Schedule is paramount. Errors here can lead to legal disputes, delays, or even the termination of the contract.

Here are some key tips for how to fill out a REIQ contract:

  1. Use Full Legal Names: Ensure all parties’ full legal names are used, as they appear on official identification documents.

  2. Be Precise with Dates: The settlement date, finance date, and building and pest inspection date must be clearly specified. Remember, “time is of the essence.”

  3. Specify Inclusions and Exclusions: If an item is not a “fixture” (permanently attached to the property), it must be listed as an inclusion to be part of the sale. Likewise, any fixtures the seller wants to take must be listed as an exclusion.

  4. Complete All Relevant Sections: If a condition is not applicable, such as a finance condition for a cash buyer, ensure the relevant box is clearly marked “N/A” to avoid ambiguity.

  5. Seek Legal Advice: Never sign a REIQ contract without having your conveyancer review it first. They can identify potential issues and draft special conditions to protect your interests.

Who can witness a REIQ contract?

A valid signature on a contract for the sale of land in Queensland requires a witness. The most common people to act as a witness are a real estate agent (for the initial contract), a Justice of the Peace, a Commissioner for Declarations, or a lawyer. The witness must also sign and provide their full name and capacity (e.g., “Justice of the Peace”). You can find detailed information on signing and witnessing requirements on the Titles Queensland website.

Pros and Cons of Using a REIQ Contract

Pros of a REIQ ContractCons of a REIQ Contract
Standardised & Predictable: Both parties know what to expect.One-Size-Fits-All: May not suit every unique situation.
Trusted by Professionals: Widely accepted by lenders and legal practitioners.Requires Special Conditions: Often needs additions to protect specific interests.
Legally Compliant: Regularly updated to align with new legislation.Complexity: Can be difficult for a layperson to fully understand without advice.
Clear & Concise: Designed to be as clear as possible.Strict Deadlines: “Time is of the essence” can be unforgiving.


Conclusion: Partner with Spot On Conveyancing for Confidence

The REIQ Contract is an indispensable part of the Queensland property landscape. While it’s designed to be a clear and balanced document, the legal and financial implications of signing one are significant. Navigating the terms, conditions, and deadlines requires expertise and attention to detail.

Whether you’re a first-time home buyer or an experienced property investor, having a dedicated conveyancing team by your side is crucial. At Spot On Conveyancing, our solicitors work tirelessly to protect your interests, review the contract with a fine-tooth comb, and ensure your transaction is as seamless and stress-free as possible.

Don’t leave your biggest asset to chance. Get in touch with our expert conveyancing team today for a free consultation and let us guide you every step of the way.

About the Author

Ana Nicholas is a senior conveyancing lawyer at Spot On Conveyancing, with over 15 years of experience in property law in Queensland. With a background in legal practice, Ana is passionate about making complex legal processes easy to understand for everyday Queenslanders. Her extensive expertise and commitment to clear communication have made her a trusted advisor for countless families navigating property transactions.


Reputable Sources and Further Reading

  1. Real Estate Institute of Queensland (REIQ): Forms and Contracts
  2. Queensland Law Society (QLS): REIQ Property Contracts
  3. Titles Queensland: Signing and witnessing requirements
  4. Business Queensland: Commercial tenancy agreement
  5. Residential Tenancies Authority (RTA): Starting a tenancy
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