Settlement timing rules by state at a glance
| Rule | NSW | QLD | VIC |
|---|---|---|---|
| Time of day | Usually from 2pm | Strictly by the contract's due date | By 5pm on the settlement date |
| Moving the date | Only by mutual agreement (unless the contract allows otherwise) | The seller can extend by up to five business days by giving notice, without your agreement | Only by mutual agreement |
| If a party is late | The other side serves a Notice to Complete (at least 14 days) | Time is of the essence — being late is a breach once any extension is used up | The seller may serve a Notice of Default requiring completion within 14 days |
| If the deadline isn't met | Terminate, forfeit the deposit (up to 10%), sue for damages | Terminate and pursue remedies for breach | Terminate, charge default interest, buyer covers the seller's extra legal costs |
Most contracts treat the settlement date as a firm deadline (in some states "time is of the essence," meaning obligations must be met strictly by the due date). If a party cannot settle on the date, the other party can usually issue a formal notice requiring completion within a set period; failure to comply with that notice can lead to termination, forfeiture of the deposit, penalty or default interest, and a claim for damages. Because a delayed settlement can disrupt removalists, move-in dates, insurance, contractors and tenancy arrangements, both parties should plan for the possibility of an extension while still striving to meet the original date. At settlement, adjustments are also made on a pro-rated basis for outgoings such as council rates, water and other periodic charges, so each party pays only for their period of ownership.