Can you sell a property in Victoria without a Section 32?

If you are getting ready to sell in Melbourne, you will hear agents and conveyancers talk about the Section 32. It comes up at every open for inspection, it sits on the agent's trestle table next to the contract, and buyers ask for it before they make an offer. So, can you actually sell without it?

The short answer is no. Victorian law requires the vendor to give the purchaser a signed Section 32 Vendor's Statement before the purchaser signs the contract of sale. Skipping it risks the buyer cancelling the deal and it can attract fines. The rule is set out in Section 32 of the Sale of Land Act 1962. It says a vendor must give the statement to the purchaser before the purchaser signs the contract. There is also a specific offence for failing to do so, with penalties in penalty units.

Below is a practical guide for Melbourne sellers that explains what the Section 32 is, when it is needed, what it includes, what goes wrong when it is missing or defective, and how to make preparation painless.

What is a Section 32 Vendor's Statement?

A Section 32 is a legal disclosure document that the seller must provide to a buyer before any contract is signed. It sets out matters that affect the land so the buyer can make an informed decision. Consumer Affairs Victoria and the legislation both make this point clearly.

In practice, your conveyancer or solicitor prepares the statement and the selling agent makes it available to prospective buyers during the campaign and before any contract is executed. The Legal Practitioners' Liability Committee notes that preparation is technical and benefits from robust processes, since many claims arise from defective statements.

When Must It Be Given?

Timing is simple. The vendor must give the signed statement to the purchaser before the purchaser signs the contract of sale. That timing applies whether the sale is by private treaty or by auction. At auctions, the statement and contract are typically available for inspection during the campaign and before the auction begins.

If the statement is not provided before the purchaser signs, the buyer may have rights to rescind, and the vendor may commit an offence. The Sale of Land Act spells out both the rescission consequences and the offence provisions.

Digital age note: the Act accepts electronic signatures on the statement, which helps speed up campaigns that move quickly.

What Does the Section 32 Include?

The contents are detailed across sections 32A to 32I of the Act. The exact items vary depending on the type of property, but a typical Melbourne home's statement will include:

• Title particulars and the plan of subdivision
• Encumbrances on title, such as mortgages, caveats, easements, covenants and charges
• Planning information, including zoning and any relevant overlays or restrictions
• Services connected to the property, for example electricity, gas, water, sewerage and telephone
• Outgoings and financial matters, such as rates and charges, and in some cases land tax details or statements required by current tax schemes
• Owners corporation information, including certificates where the property is in an owners corporation
• Building permits issued in the last seven years, together with owner builder warranties and insurance if applicable
• Notices affecting the land from authorities, for example road proposals, fencing notices or compliance orders

A recent change illustrates why up to date advice matters. Section 32A was amended in 2024 to require disclosures linked to the Commercial and Industrial Property Tax Reform Act 2024 for relevant properties, including AVPCC details and entry dates where applicable. Your practitioner will identify whether your land is caught.

Authoritative summaries from industry bodies and legal practices mirror the legislative list and are useful reading for sellers who want a plain English explanation.

Can You Start Advertising Without a Section 32?

Yes, you can launch your campaign and collect interest while the statement is being prepared. Photography, listing copy, signboards and opens can all proceed. What you cannot do is have a purchaser sign the contract before you have given them the signed Section 32. If someone wants to make an offer on the spot, the agent should not exchange contracts until the statement is ready and served. That is the bright line in Section 32.

A practical tip for auction campaigns in Melbourne: ensure the statement and contract are available for inspection during opens and in the half hour before the auction. Serious bidders will expect to have had a chance to review both.

What Happens If You Do Not Provide It, or It Is Wrong?

Two main risks arise.

1. The Buyer May Cancel

If the statement is missing or defective in a way that matters, the purchaser may be able to rescind the contract before settlement. Section 32K deals with rescission where a vendor fails to provide required information or supplies false information.

2. You Can Be Fined

Failing to give the statement before the purchaser signs, or providing false or incomplete information knowingly or recklessly, is an offence. The Act sets penalties expressed in penalty units, with higher penalties for companies.

Insurers and risk bodies warn that a large share of conveyancing claims stem from defective statements, which underlines the value of careful preparation by an experienced practitioner.

Common Mistakes That Cost Melbourne Sellers

After years of Saturday opens and midweek twilight auctions, the same errors keep popping up.

Out of Date Title Search or Missing Plan of Subdivision

Buyers and their advisers will check dates and compare instruments. A stale search invites questions.

Forgetting Owners Corporation Details

If the property is on a strata plan, the owners corporation certificate and disclosures are essential.

Misstating Connected Services

Guesswork about gas, NBN or sewerage can backfire, since buyers rely on the statement when budgeting for connection works.

Omitting Recent Building Works

Building permits within seven years and owner builder works require specific disclosures and, in some cases, insurance.

Planning Traps

Zoning changes or overlays that affect extensions or rebuilds must be disclosed. Savvy buyers scrutinise overlays in suburbs like Brunswick, Fitzroy and Hawthorn, where heritage and parking overlays are common.

Tax and Outgoings Gaps

New and changing disclosure obligations exist for some commercial and industrial property. Sellers of mixed use assets should seek specific advice.

How Long Does a Section 32 Take, and How Can You Speed It Up?

Most of the time is spent waiting for certificates. Your practitioner orders searches from Land Use Victoria, council, water authority, the State Revenue Office and, if applicable, the owners corporation. Many come back quickly, although owners corporation certificates can take longer.

You can help by gathering rates notices, owners corporation details, any building permits and your identity documents early. Electronic signing is accepted, so you can review drafts and sign promptly even if you are travelling for work.

How the Cooling Off Rules Interact

Cooling off is separate to the Section 32. In most private sales of residential property and small rural property in Victoria, buyers have a three business day cooling off period after they sign the contract. There are important exceptions, including auctions and sales within three clear business days before or after a publicly advertised auction. Consumer Affairs Victoria explains these rules and exceptions.

Even when cooling off applies, you still must provide the Section 32 before the purchaser signs. The cooling off period is not a substitute for disclosure.

Frequently Asked Questions

Can I write a clause that says the sale is subject to the Section 32 being provided later?

That would cut across the requirement in the Act to give the statement before the purchaser signs. The safer and lawful course is to have the statement ready before any contract is executed.

We have a hot buyer who wants to sign tonight. Can we exchange and send the statement tomorrow?

No. If you do that, the purchaser may have a statutory right to rescind and you risk penalties. You can accept an expression of interest and move quickly to finalise the statement, but do not exchange contracts until the Section 32 has been given.

Does the Section 32 apply to every sale?

It applies to contracts for the sale of land in Victoria, with specific content tailored by the Act to different scenarios. Your practitioner will determine which disclosures apply to your property type.

Is a PDF emailed to the buyer acceptable?

Yes, provided the statement is properly signed. The Act permits electronic signatures, which means your practitioner can finalise and issue the statement digitally.

What if something changes during the campaign?

Tell your practitioner promptly. If a new notice arrives or you carry out works that trigger disclosure, the statement can be updated. Better to correct early than risk a dispute after exchange. Risk guidance for practitioners stresses careful, current disclosure.

A Melbourne Seller's Checklist

Picture a typical Inner North campaign. The photographer has captured the afternoon light across the courtyard. The signboard is up on Tuesday, and the first open is Saturday. To keep everything tidy and compliant, work through this list.

1. Engage your conveyancer early. Ask them to order searches, prepare the statement and draft the contract.
2. Collect documents. Recent rates and water notices, owners corporation details, building permits and warranties, any owner builder insurance, and your ID.
3. Confirm planning and services. Check zoning, overlays and which services are connected. Your practitioner will verify, but accuracy starts with what you know.
4. Review and sign the Section 32. Do this before the campaign heats up. Electronic signing is fine when advised.
5. Make it available at opens and, for auctions, before bidding starts. Serious buyers and their advisers will expect to see it alongside the contract.
6. Update if circumstances change. New notices, fresh building works or corrections should flow through to a revised statement.
7. Only exchange once the buyer has been given the statement. That timing keeps you inside the law and reduces the risk of the contract being unravelled.

Key Takeaways

• You cannot validly complete a sale in Victoria without first giving the purchaser a signed Section 32 Vendor's Statement. The law is explicit on timing.
• Failing to provide the statement, or providing it with false or incomplete information, can allow the buyer to rescind and may be an offence with penalties.
• The contents are specific and can change, so rely on an experienced Melbourne conveyancer to get it right, including any new disclosure items introduced by recent reforms.
• Marketing can begin without the statement, but contract signing must wait until the statement has been provided.

Conclusion and Next Steps

If you remember one thing from this article, make it this. Have your Section 32 prepared early and give it to any serious buyer before they sign. It keeps your sale compliant, builds trust with buyers and avoids last minute drama on what should be a happy settlement day. The legislation is clear, and buyers' advisers in Melbourne will check the fine print.

If you would like help preparing a compliant statement, or you want a second pair of eyes over your draft before the first open, get in touch with the local team at Pearson Chambers Conveyancing. We can prepare your Section 32, coordinate the right searches, and keep the paperwork moving so your campaign stays on track. If you are buying, we also offer a free Section 32 contract review.

Contact Pearson Chambers Conveyancing

Phone: 03 9969 2405
Email: contact@pearsonchambers.com.au