Buying property in Victoria: the complete state guide

Victoria puts the disclosure up front. Before you sign, the vendor has to give you a section 32 statement, also called the vendor's statement, setting out the title, what is owed on the property, the planning controls and more. Your cooling-off period is short, just three business days, and the contract and statement are prepared by the vendor's lawyer or conveyancer rather than an agent. Read the section 32 properly and most of the risk in a Victorian purchase is behind you.

This guide walks the whole Victorian purchase: what happens, in what order, and where the deadlines and the money sit, with a link to the detailed explainer for every stage.

The short version for Victorian buyers

• The section 32 is the document that matters. The vendor's statement has to reach you before you sign, and it is where title problems, owners corporation costs, planning overlays and unapproved building work show up. Have it reviewed.
• Cooling-off is three business days, and there is none at auction. By private treaty you can withdraw within three business days of signing for a penalty of $100 or 0.2% of the price, whichever is more. Buy under the hammer and you are bound on the spot.
• Deadlines need a notice, not an instant. If someone misses the settlement date, the other party generally serves a default notice before they can end the contract, so a missed date is not automatically fatal.
• Budget for land transfer duty. Victorian duty is significant, with first-home and off-the-plan concessions up to set thresholds, and a foreign purchaser surcharge on top.

How buying in Victoria differs from Queensland and New South Wales

If you have bought in another state before, these are the parts of a Victorian purchase that work differently.

Buying at auction or by private treaty in Victoria

Victoria, and Melbourne especially, sells a lot of property at auction, and the two routes are legally different.

• At auction there is no cooling-off. If you are the successful bidder you are bound on the fall of the hammer, with no cooling-off and usually no finance or building conditions. Do your finance, your building and pest, and your section 32 review before you raise your hand.
• By private treaty you get conditions and cooling-off. A negotiated contract can be made subject to finance or a building and pest inspection, and you get the three business day cooling-off. There is also no cooling-off within three clear business days before or after a public auction.

The takeaway is simple: at auction all your checking has to happen first, because there is no way out afterwards.

What's different about buying in Victoria

The Victorian buying process, step by step

1. Get finance-ready and have the section 32 and contract reviewed. Pre-approval first, then have the vendor's statement and contract looked at before you sign. In Victoria this is the moment problems in the section 32 get caught.
2. Sign the contract. The vendor must have given you the section 32 beforehand. Your deposit, usually up to 10%, is payable as the contract sets, and a section 27 statement may later let the vendor access it early.
3. Cooling-off runs. Three business days from signing. Withdraw and the penalty is $100 or 0.2% of the price, whichever is greater. There is none if you bought at auction.
4. Satisfy your conditions. Finance and building and pest, where they apply. Your conveyancer runs the searches and confirms the section 32 details.
5. The contract is unconditional. From here your deposit is exposed if you cannot complete, and the vendor can pursue their loss.
6. Pre-settlement. A final inspection, adjustments for rates and owners corporation fees, and the figures agreed.
7. Settlement. Completed electronically through PEXA. If a party is running late, a default notice can be served to make the date binding.

⚠️ Before you sign: do not sign a Victorian contract without having the section 32 reviewed first, and remember cooling-off is only three business days and does not exist at auction. The vendor's statement is where the expensive surprises hide.

What it costs to buy in Victoria

Land transfer duty. Victoria charges land transfer duty on a sliding scale, and on a mid-range Melbourne purchase it runs into the tens of thousands. First-home buyers generally pay no duty up to $600,000 and get a concession between $600,000 and $750,000, off-the-plan purchases can be assessed on a lower dutiable value, and foreign buyers pay additional duty on top. Check your figure with the State Revenue Office Victoria, then read how stamp duty is calculated.

Ongoing state taxes. Once you own it, an investment property attracts annual land tax once your land value crosses the threshold, and if the land is later rezoned a windfall gains tax can apply. These are worth checking with your accountant, because they are ongoing, not one-off.

The rest of the stack. Conveyancing is a fixed fee, with searches, owners corporation certificates and the title registration fee on top. See what conveyancing costs in Queensland, NSW and Victoria.

Common questions about buying in Victoria

Quick answers to what Victorian buyers ask most.

How is buying in Victoria different from Queensland or New South Wales?

Victoria puts the disclosure first: the vendor's section 32 statement has to reach you before you sign. Cooling-off is shorter at three business days, the vendor's lawyer prepares the contract, and risk passes at settlement rather than the day after signing.

What is a section 32 statement, and what should I check?

The section 32, or vendor's statement, is the disclosure the vendor must give you before you sign. Check the title, any easements or covenants, the zoning and overlays, the rates and outgoings, building permits from the last seven years, and any owners corporation certificate. A problem in it is often a reason to walk away, so have it reviewed before you sign.

How does the cooling-off period work when buying in Victoria?

By private treaty you get three business days from signing the contract to withdraw, for a penalty of $100 or 0.2% of the price, whichever is greater. There is no cooling-off if you buy at auction, or within three clear business days either side of a public auction.

Does a cooling-off period apply if I buy a house at auction in Melbourne?

No. There is no cooling-off when you buy at auction, so if you are the successful bidder you are bound on the fall of the hammer. That is why your finance, building and pest, and section 32 review all need to be done before auction day.

What is a section 27 deposit release, and should I consent to it as a buyer?

A section 27 statement is the vendor's request to access your deposit before settlement. You can object within the statutory objection window (around 28 days) and you do not have to consent. Get your conveyancer's advice first, because once the deposit is released it is hard to recover if the sale falls over, especially if the vendor owes more on the property than the sale price.

How much stamp duty do first-home buyers pay in Victoria?

First-home buyers generally pay no land transfer duty on a home up to $600,000, and get a sliding concession between $600,000 and $750,000. Above $750,000 the first-home concession does not apply. Check your exact figure with the State Revenue Office Victoria.

How long does settlement take in Victoria?

Commonly 30, 60 or 90 days from the contract date, with the exact period set in the contract. See time and settlement in property contracts (VIC).

Buying somewhere specific in Victoria?

Local searches, council costs and a fixed-fee quote from the team covering your area.

• Conveyancing in Melbourne
• Conveyancing across Victoria

Buying in Victoria comes down to the section 32. If you have a contract in front of you, get a fixed-fee quote and have the vendor's statement reviewed before you sign. That is the step that catches the expensive surprises early.

General information only, not legal advice. Conveyancing law varies by state and changes over time, so confirm your situation with a licensed conveyancer or solicitor.