What Is A Priority Notice?

What Is A Priority Notice In Queensland?

In Queensland, a priority notice is a document lodged with Titles Queensland to indicate that a potential change in property ownership or interest is in progress. Once lodged, it temporarily halts any actions that could affect the property until a decision is made to proceed with the transaction or maintain the current ownership.

The purpose of a priority notice is to secure priority of registration for the intended land dealing, ensuring that the person who lodges the notice (generally a buyer) will acquire their interest in the land. For example, if a person is entering into a transaction to become the transferee, mortgagee, or lessee of a property, they can lodge a priority notice in respect of the proposed transfer, mortgage, or lease.

Why Is A Priority Notice Important?

A priority notice ensures that no new actions or claims can be registered against the property that could impact the outcome of the sale or transfer. For buyers, it provides protection by preventing third-party interference, and ensures no new interests are lodged against the property until the sale is completed or negotiations fall through.

Priority notices are also valuable for property transfers between family members, safeguarding against third-party claims during the process.

If any legal disputes arise between the current owner and a third party, the priority notice ensures that your interests take precedence over any other legal claims. For example, a lien cannot be placed on the title until the transaction has taken place.