SPOOKY SECRETS: DO YOU HAVE TO DISCLOSE A DEATH IN THE HOME WHEN SELLING?
Whether or not you have to disclose the death of someone in a property when selling varies across Queensland, New South Wales and Victoria.
We have broken up the current legal position across the three states below:
QUEENSLAND
In Queensland, there is currently no specific legal requirement obligating sellers to disclose a death in the property when selling. New seller disclosure requirements are coming into effect in August 2025, however these will still not include the requirement to disclose deaths in the property.
That being said, under the Australian Consumer Law, real estate agents are prohibited from engaging in misleading or deceptive conduct and have an obligation to disclose any “material facts” in relation to the property. A material fact is one which, if disclosed to the buyer prior to entry into the contract, would have affected their decision to proceed with the purchase.
Whether a death in the property will affect a buyer’s decision is a very subjective issue and will come down to the specific circumstances. For example, a person passing away peacefully from old age is a very different scenario from a brutal murder. A buyer’s decision may also be impacted by how long ago the death occurred and their cultural beliefs.
If a buyer can show their decision to purchase the property would have been impacted had the information been disclosed prior to signing the contract, they may be able to have the court overturn the contract or bring a claim against the agent. There is, however, limited case law on the subject currently.
Given this uncertainty, it is best practice to disclose this information.
NEW SOUTH WALES
In New South Wales, under section 60 of the Property, Stock and Business Agents Regulations 2022 (NSW), agents must disclose material facts to prospective purchasers. This includes if the property has been the scene of a crime or murder or manslaughter within the past five years. Death by natural causes is not listed as a material fact requiring disclosure.
However, if a potential purchaser enquires about any deaths in the property, the vendor or real estate agent must provide truthful information. Providing false information could lead to a claim for misrepresentation under section 52 of the Property, Stock and Business Agents Act 2002 (NSW).
VICTORIA
In Victoria, a vendor must make certain disclosures to prospective buyers under sections 32 and 33 of the Sale of Land Act 1962 (Vic). Whilst the disclosure of a death in a property is not explicitly required, under section 12(d) of the Sale of Land Act 1962 (Vic), it is an offence to make any misleading or deceptive statement or knowingly conceal any “material facts” to induce a purchaser to enter into a property contract.
A material fact is one that would impact a potential purchaser’s decision in entering into the contract or what purchase price they would pay. Guidelines provided by Consumer Affairs Victoria suggest that a significant event at the property, such as extreme violence or murder, could be considered a material fact.
Therefore, to err on the side of caution, a vendor should disclose such information to avoid claims of misrepresentation or the potential rescission of the contract.
