The NSW Contract for Sale of Land has been updated for the first time since 2022, and from 1 June 2026, the new edition is not optional. The 2026 edition developed by the Law Society of NSW and REINSW in response to the Conveyancing and Real Property Amendment Act 2025 (NSW) and a range of legislative updates, brings changes that affect every residential transaction exchanged from that date. For property lawyers managing NSW matters, understanding what has changed is urgent, not discretionary.
1. The cooling off notice is mandatory in its new form from 1 June 2026
The most critical change affects the statutory cooling off notice. A modest but legally significant amendment has been made to the notice wording under the Conveyancing and Real Property Amendment Act 2025 (NSW). Between 15 August 2025 and 31 May 2026, practitioners could use either the previous or revised form. From 1 June 2026, only the new form is compliant. Any residential contract or option agreement exchanged from that date containing the 2022 wording will not meet the statutory requirement.
2. A new AML/CTF warning has been added to the contract
The 2026 edition introduces a new warning alerting parties to the incoming AML/CTF obligations. From 1 July 2026, solicitors and licensed conveyancers will become tranche 2 entities under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (Cth). The fact that this now appears in the contract itself signals that AML/CTF readiness is a front-of-matter compliance issue, and practitioners who have not yet assessed their obligations should treat this as an urgent prompt. InfoTrack’s AML/CTF Compliance Centre offers an all-inclusive solution to meet your compliance obligations under the new act. Practitioners can explore more about the features and benefits to fall in line with new regulation of the act here.
3. Foreign resident capital gains withholding has changed and applies to all transactions
The 2026 edition has been updated to reflect that from 1 January 2025, the FRCGWT rate increased from 12.5 per cent to 15 per cent, and the previous $750,000 threshold no longer applies. Every NSW property transaction where the vendor may be a foreign resident now requires active withholding consideration, regardless of purchase price. Practitioners relying on the 2022 edition will be working from outdated withholding figures.
4. Standard inclusions and vendor disclosure items have been updated
The inclusions list has been modernised to reflect how Australian homes are equipped today, with updates to reflect current technology and energy installations. A new disclosure item has also been added to cover documents relevant to exclusive supply networks, addressing the growing prevalence of embedded energy networks in strata and community title developments, an area that was not reflected in the 2022 edition.
5. Key contract clauses have been clarified following recent case law
The 2026 edition incorporates clarifications to the unregistered plan and conditional contract provisions following commentary from the NSW Supreme Court in Ahmau Developments Pty Ltd v Preet [2025]. The changes resolve a potential overlap between those provisions that the court identified, providing greater certainty for practitioners managing matters in both categories.
Continuing to use the 2022 edition after the commencement date carries genuine legal risk for vendors, including the potential for purchasers to exercise rescission rights, even after exchange. A simple administrative oversight could lead to unnecessary delays, renegotiations or deals falling over entirely. This is particularly relevant for existing listings, extended or re-launched campaigns, properties returning to market after a failed sale, and auction contracts prepared well in advance.
InfoTrack’s NSW Contract Workflow and NSW Contract Review tool have already incorporated the 2026 version, so practitioners working in the platform can proceed with confidence from day one. The most reliable approach is to work from the 2026 edition from the outset. InfoTrack’s NSW Contract Workflow already incorporates the 2026 version, licensed by both the NSW Law Society and REINSW. Property lawyers and conveyancers using InfoTrack’s eCOS platform can compile, edit, and share compliant contracts through a single workflow with data pulled directly from the title and practice management system to reduce manual handling.
