As a Vendor, can I get early access to my deposit?

Yes, you may be able to access your deposit early.  Section 27 of the Sale of Land Act allows a Vendor to apply for release of the deposit prior to settlement, however there are certain procedures to follow and information that needs to be provided to the Purchasers Representative before the deposit can be released.

Once a Vendor completes a Section 27 statement and it is served upon the Purchasers Representative, the Purchaser has 28 days within which to provide a reasonable and legal objection to the release of deposit to the Vendor. The Purchaser may provide a counter signed Section 27 before the 28 days have lapsed, however they’re not obliged to.

If 28 days pass and the Purchaser has not provided a counter signed Section 27, once the Vendor has satisfied any objections, release can be requested – however, the Purchasers Representative may still object to releasing the deposit, at which time it can be difficult to go forward with the release.

The legislation surrounding the early release of deposit is strict – ultimately, if a Purchaser refuses to consent and raises a valid objection, then the deposit cannot be released until settlement. It’s important to keep this in mind before committing the deposit money elsewhere.

We include the Section 27 deposit release process as part of our standard file, and will initiate the process once the property has unconditionally sold.