If you're thinking about selling your property without using a real estate agent in Victoria, you're not alone. Many homeowners are now choosing to go the “For Sale By Owner” (FSBO) route to take control of the sale and avoid paying large commission fees. The great news is that it’s entirely legal to sell your property privately in Victoria. However, to do it right, you need to follow a specific set of legal steps to ensure a compliant and successful sale.

This article will walk you through the Victoria FSBO process, step by step, focusing on the legal responsibilities you must fulfill. With the help of For Sale By Home Owner, you can easily manage your private property sale with confidence and stay on the right side of the law.

Step 1: Confirm Legal Ownership of the Property

Before you begin advertising or speaking with potential buyers, make sure you are the legal owner of the property and that your name appears on the property title. This information is accessible via Land Use Victoria, and you can also request a title search through your conveyancer.

If there are multiple owners, you must ensure all parties agree to sell and will sign the necessary documentation when the time comes.

Step 2: Prepare the Section 32 Vendor’s Statement

One of the most important legal requirements in the Victoria FSBO process is preparing a Section 32 statement, also known as a Vendor’s Statement. Under Victorian law, you must provide this document to any potential buyer before they sign a Contract of Sale.

The Section 32 includes:

• A copy of the title search
• Zoning and planning details
• Information on easements, covenants, or restrictions
• Rates and outgoings
• Building permits (if applicable)
• Details of any owners corporation (for units or apartments)

Failing to provide a valid Section 32 can allow a buyer to withdraw from the sale, even after contracts have been signed. It’s essential that this document is prepared by a licensed conveyancer or solicitor to ensure accuracy and legal compliance.

For Sale By Home Owner can connect you with trusted legal professionals who specialise in preparing this document for private sellers.

Step 3: Draft a Legally Binding Contract of Sale

Once you receive an offer and agree to sell, the next legal step is drafting a Contract of Sale. This document outlines all the terms of the sale and becomes legally binding once signed by both the seller and the buyer.

The contract should include:

• The full names of both parties
• The agreed sale price
• The deposit amount (usually 10%)
• The settlement period (commonly 30, 60, or 90 days)
• Any special conditions (e.g., subject to finance or building inspections)

Again, this is best handled by your solicitor or conveyancer to ensure the contract complies with Victorian property laws. They will also manage adjustments to rates and taxes, disbursements, and other financial elements required at settlement.

Step 4: Observe the Cooling-Off Period

Under Victorian law, residential buyers have a 3-business-day cooling-off period after signing the contract. During this time, they can legally withdraw from the purchase, although a small penalty (usually $100 or 0.2% of the sale price, whichever is greater) may apply.

As the seller, you are legally obligated to allow this cooling-off period unless the buyer is exempt (e.g., a company or someone who has previously purchased property in Victoria). It’s important to inform the buyer of this right and ensure your contract reflects it.

Step 5: Handle the Deposit Safely

After the contract is signed, the buyer pays a deposit, which is typically 10% of the purchase price. This deposit must be held securely—either in a solicitor’s or conveyancer’s trust account—or by mutual agreement in a third-party trust account.

Do not spend or transfer the deposit until settlement is complete. Mishandling the deposit can lead to legal disputes, penalties, or loss of buyer trust.

For Sale By Home Owner recommends working with a professional conveyancer to securely manage the deposit and ensure compliance with trust account requirements.

Step 6: Prepare for Settlement

As the seller, your legal team will work with the buyer’s conveyancer to prepare for settlement. During this time, you must:

• Finalise all paperwork
• Ensure any mortgages on the title are discharged
• Provide vacant possession (unless otherwise agreed)
• Pay outstanding council rates or other dues up to the settlement date

On the agreed settlement day, the balance of the purchase price is paid, and legal ownership is transferred from your name to the buyer’s.

Step 7: Transfer Title and Handover Keys

Once the settlement is completed, your solicitor or conveyancer will arrange the transfer of ownership with Land Use Victoria. This is the official legal handover.

You’ll then need to:

• Hand over the keys to the new owner
• Provide any instruction manuals, appliance warranties, and keys to meters or sheds
• Inform utility companies of the change in ownership

At this point, the property is officially sold, and the funds (minus legal and discharge fees) are transferred to your account.

Final Thoughts

The Victoria FSBO process is not just legal—it’s straightforward when you understand the required steps. From preparing a valid Section 32 to handling the deposit correctly and drafting a compliant contract, each part of the process ensures transparency, protection, and legality for both you and the buyer.

By using For Sale By Home Owner, you can manage the entire selling process with access to advertising tools, legal support, and step-by-step guidance. Thousands of Victorian homeowners are already saving time and money by choosing to sell privately. With the right legal knowledge and support, you can confidently join them and take full control of your property sale—without paying agent commissions.