Exploring “Matters Affecting Property”: Why You Should Tick “Yes”

Feb 28, 2024By Mint Legal Brisbane
Mint Legal Brisbane

When it comes to property transactions, there’s a critical checkbox that often holds more significance than meets the eye. The checkbox labeled “Matters Affecting Property” might seem inconspicuous, but its importance cannot be overstated. In this article, we delve into the world of “Matters Affecting Property,” its implications, and why you should always consider ticking “yes,” even if the property title seems devoid of complications.

Understanding Matters Affecting Property

“Matters Affecting Property” refers to a section in the Contract of Sale documents that addresses various factors that could impact the property’s use, rights, and ownership. While it might appear as a simple checkbox, its implications are far-reaching.

Exploring Easements, Encumbrances, and Other Interests

When discussing “Matters Affecting Property,” we’re delving into the realm of easements, encumbrances, and other interests that might influence a property’s value and usage. Easements, for instance, grant specific rights to individuals or entities to use a portion of the property for a designated purpose. Encumbrances encompass any claims or restrictions that might affect the property’s transfer or use.

The Crown’s Interest: A Starting Point

In Queensland, all properties are subject to certain rights and interests reserved by the Crown through a unique Deed associated with each title. Even if your property’s title seems unblemished, the Crown retains an interest in the land. For instance, if valuable resources like gold, silver, or minerals are discovered on your property, the Crown has a legitimate claim to them.

When Selling your property what is the Importance of Ticking “Yes”

Even if you believe there’s nothing to disclose, ticking “yes” under “Matters Affecting Property” is a prudent choice. Here’s why:
• Specific Encumbrances: If there are any easements, infrustructure systems, caveats, or writs associated with the property, ticking “yes” prompts a closer examination of these details. These specific encumbrances might not always be visibly present on the title.
• Legal Consequences: Ticking “yes” signifies the potential presence of additional rights, interests, or restrictions. Seek advice from a legal representative to comprehend the exact nature and implications of these factors.

Unseen Encumbrances and Obligations

It’s worth noting that not all encumbrances are explicitly noted on the property title. For instance, infrastructure like sewer mains, council stormwater or drainage systems, or Telstra boxes might exist on the property without being clearly documented. If these are present, the seller is obligated to disclose them.

Seek Legal Guidance for Clarity

Given the intricate nature of property-related matters, there’s no one-size-fits-all solution. If you’re uncertain about the implications of ticking “yes,” it’s advisable to engage a legal representative for a contract review. They can provide tailored advice based on the specific property and its associated factors.


Can I tick “No” if there are no visible issues with the property? Ticking “Yes” is recommended, regardless of visible issues, as it prompts a thorough examination of potential encumbrances and interests.

What if I’m unsure about specific encumbrances? If you’re uncertain, it’s best to seek guidance from a legal representative who can review the property’s details and provide clarity.

Is the Crown’s claim to resources always applicable? Yes, the Crown’s claim to valuable resources is a standard legal provision for properties in Queensland.

Do I need to disclose infrastructure like Telstra boxes or stormwater systems? Yes, if such infrastructure exists on the property, you should disclose it to the buyer to fulfill your disclosure obligations.

Can I rely solely on the checkbox to disclose all matters affecting the property? While ticking “Yes” is a crucial step, thorough disclosure often requires legal expertise and a comprehensive examination of property documents

Are there any consequences for incorrecting disclosing matters affecting the title?

If a property seller chooses to tick “No” for matters affecting the property, indicating that there are no issues of concern, and later during the buyer’s due diligence process, it becomes evident that there are indeed matters affecting the title, several consequences may arise. It’s important to recognize that providing accurate and transparent information is crucial in property transactions to maintain trust and uphold legal obligations.

Potential Consequences:

1. Breach of Disclosure Obligations: Ticking “No” when there are actual matters affecting the property could be viewed as a breach of the seller’s disclosure obligations. Sellers are typically required to disclose all material facts that could influence a buyer’s decision.

Failing to do so could result in legal repercussions, including the buyers having rights to terminate the contract upto and including at settlement and seek compensation for damages.

2. Loss of Trust and Reputation: A discrepancy between the information provided by the seller and the actual state of the property can erode trust between the parties. Buyers might feel misled or deceived, leading to a strained relationship and potential disputes.

3. Legal Action: If the buyer discovers that there are indeed matters affecting the title that were not disclosed, they might have grounds to take legal action against the seller. Legal remedies could include contract termination, seeking compensation, or other remedies based on misrepresentation or non-disclosure.

4. Financial Impact: If the buyer incurs costs due to undisclosed matters affecting the property, they might seek reimbursement from the seller for expenses related to rectifying the issues.

5. Delay and Uncertainty: Discovering matters affecting the property after the initial disclosure can lead to delays in the transaction process. This could potentially result in uncertainty for both parties and additional legal and administrative costs.

6. Impact on Property Value: Matters affecting the property, once revealed, could impact the property’s value and marketability. The buyer might negotiate a reduced price or request concessions to compensate for the issues.

7. Litigation Costs: If a dispute arises due to the discrepancy between the initial disclosure and the actual state of the property, both parties might incur legal costs associated with resolving the matter.

Preventive Measures:

To avoid these potential consequences, it’s advisable for sellers to:
• Provide full and accurate disclosures about any known matters affecting the property.
• Seek legal advice from a Conveyancer or Solicitor when unsure about how to accurately disclose property-related issues.
• Encourage buyers to conduct thorough due diligence to ensure they are fully informed about the property’s condition and any associated matters.

In conclusion, ticking “No” for matters affecting the property when there are indeed issues present can have serious consequences for sellers. Full transparency and compliance with legal obligations are paramount in property transactions to ensure a smooth and fair process for all parties involved.

This is general advice only, for specific legal advice speak with your legal representative.