How do deposits work when buying a property in Queensland?

A deposit is part payment of the purchase price. In Queensland the amount and timing are set by your contract, and it must be paid to the deposit holder — typically the agent or a solicitor's trust account, not the seller directly — sometimes as soon as you sign. If you don't pay by the required date, the seller may have a right to terminate the contract and claim compensation even after you pay.

Your deposit is part payment of the purchase price that shows you're committed and, once paid, helps secure the property. In Queensland the key details — how much, exactly when, and who holds it — are governed by the terms of your contract, so the contract is always the first place to look.

How much you pay

The amount is set by the contract rather than a single fixed figure, and is commonly expressed as a percentage of the purchase price. Because the exact amount (and whether any cap applies) isn't fixed here, confirm the figure with your conveyancer before you sign.

When it's due

Pay on or before the due date stated in the contract — this can be as soon as signing. Missing that date is treated as a breach, so don't leave it to the last moment. If you pay by electronic transfer, provide written evidence at the time of the transaction; if you pay by cheque, deliver it to the deposit holder and keep evidence of when it was paid.

Who holds it

The deposit is paid to the deposit holder named in the contract — typically the real estate agent, or a solicitor holding it in a trust account — not to the seller directly. Never act on payment instructions from the seller or agent that differ from the contract; verify the details before transferring any money, and keep your receipts or transaction confirmations.

Paying on time: method and evidence

MethodWhat to doEvidence to keep and provide
Electronic transfer (EFT / Osko)Send the funds on or before the due date, and provide written evidence of the transfer at the timeBank or remittance confirmation, sent to the deposit holder
ChequeDeliver it directly to the deposit holder on or before the due dateA receipt showing when it was paid

If you pay late or breach

If the deposit isn't received by the due date — or you don't provide written evidence of an electronic transfer — the seller may have a right to terminate the contract and claim compensation, even after you eventually pay. Where the problem is missing evidence of a transfer, that right can continue until the evidence is provided. Paying correctly and on time is the simplest way to protect your purchase.

How it interacts with cooling-off

If your contract includes a cooling-off period, how and when the deposit is payable can interact with it. The specifics are set by your contract and Queensland law rather than fixed here, so ask your conveyancer how the deposit and any cooling-off rights apply to your particular contract.

In short: treat the contract as the source of truth for the amount and timing, pay the deposit holder (never the seller) exactly as the contract directs, keep written evidence of payment, and confirm the amount, any cap, and cooling-off details with your conveyancer before signing.

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