Can either party extend settlement under a REIQ contract?

Yes. Under the current standard REIQ residential contracts, either the buyer or the seller can extend the settlement date once, by up to 5 business days, without the other party's agreement and without giving a reason.

How do you extend settlement?

The party wanting the extension gives written notice before the settlement deadline on the original settlement date, nominating the new date. Your lawyer normally handles this.

What happens if settlement fails on the extended date?

Time remains of the essence. If the party in default cannot settle by the extended date, the other party can generally terminate, and a seller can usually keep the deposit.

Is the settlement extension the same as the cooling-off period?

No. The cooling-off period benefits only the buyer and runs from the contract date. The settlement extension is available to both parties at the end of the transaction.

REIQ 5-Day Settlement Extension Explained QLD

Either side of a standard Queensland residential contract can push settlement back once, by up to 5 business days, without asking permission or giving a reason. Caller Ron raised it in Legal Matters Ep 32: Police Roadside Stops Part 2 , and Andrew Bell’s answer was clear: it is a safety net, not a free extra week.

How the Extension Works

Current editions of the REIQ Contract for Houses and Residential Land and the residential lots contract include a clause (cl 6.2 in the houses contract) allowing either party to extend settlement.¹ In broad terms:

Either the buyer or the seller can use it.
No reason is needed and the other party’s consent is not required.
Written notice must be given before the settlement deadline on the original settlement date.
The new date can be up to 5 business days after the original date.
Time remains of the essence for the extended date.²

Always check the exact wording in the edition you signed, as older and specially negotiated contracts differ.

Why the Clause Exists

Before the clause, a missed settlement could collapse a deal for reasons outside either party’s control, such as a bank that cannot join the electronic workspace, a third party slow to release a caveat, or outstanding rates figures. The clause gives both sides breathing room without penalising an innocent delay.

The extended date is the last chance. Andrew described matters where the other side extended, failed to settle before the cutoff on the final day, and called ready to settle after electronic settlement had closed. By then the seller could terminate, keep the deposit and accept a better offer. If you are buying or selling, speak with our conveyancing team on (07) 5532 8777 or through our contact page .

Cooling-Off Versus Settlement Extension

Feature	Cooling-off period	Settlement extension
Who benefits	Buyer only	Buyer or seller
When	From contract date	At settlement
Length	5 business days	Up to 5 business days
Cost	Termination penalty may apply	No fee, but default risk rises

How does the REIQ 5-day settlement extension work?

How the Extension Works

Why the Clause Exists

Cooling-Off Versus Settlement Extension

See Also

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