One common assumption among buyers and developers in Blacktown, Schofields, Kellyville, Rouse Hill, Castle Hill, and other NSW suburbs is that if a real estate agent says something is “OK,” then everything will be fine. Unfortunately, this belief can be very misleading. A recent court decision, Evans v Jan [2025] QSC 31, although decided in Queensland, provides a clear warning that applies equally to New South Wales property transactions. The legal principles relating to deposits, deadlines, and authority are largely the same. In conveyancing, it is the contract that governs the transaction. While agents assist with negotiations, they do not have the authority to change essential contract terms.
In this case, the buyer agreed to purchase a property for $985,000 and was required to pay a 10% deposit ($98,500) by a specified date. Due to bank transfer limits, the buyer paid the deposit in instalments over two days instead of paying the full amount on time. Before doing so, he messaged the real estate agent explaining the situation. The agent responded informally, stating that it was “OK” as long as the payments were made shortly after. The purchaser assumed this meant the vendor had accepted the delay. However, the vendor later terminated the contract and retained the deposit, as payment had not been made on time. The Court held that the agent had no authority to extend payment deadlines or approve late payments. Only the vendor, or their solicitor, can vary the terms of the contract.
This type of situation has caused significant issues for buyers in rapidly growing areas such as Marsden Park, The Ponds, Box Hill, and Norwest. Many people rely on informal discussions, text messages, or verbal assurances rather than the contract. This creates serious and often irreversible risks:
- If a deposit is paid late, the vendor may terminate the contract, even if payment is made shortly after.
- Communication from an agent does not change the terms of the contract.
- Unless the vendor has formally agreed (usually in writing through legal representatives), the contract remains unchanged.
- Even well-intentioned buyers can lose their deposit due to non-compliance with strict deadlines.
Deadlines primarily protect vendors, ensuring that buyers remain accountable for completing the transaction. From a buyer’s perspective, relying on incorrect or informal advice can result in the loss of tens of thousands of dollars. The danger lies in the fact that it does not feel risky at the time. The law does not recognise informal assurances such as a friendly message or a casual “it’s OK.” Only properly authorised instructions—typically documented through solicitors or conveyancers—have legal effect.
Flash Conveyancing, led by Julian and Renee, are specialists in property transactions across New South Wales. With extensive experience working with local councils including Blacktown, Hawkesbury, Blue Mountains, The Hills, Hornsby, and Parramatta, they provide a personalised approach to every settlement.
Their team supports buyers and vendors in areas such as Glenwood, Riverstone, Windsor, Bella Vista, and Winston Hills by ensuring deadlines are met, variations are properly documented, and clients do not rely on informal promises that could jeopardise their deposit or property transaction.