What Is A Priority Notice And When Should You Lodge One?

When you’re buying or selling property in Queensland, timing is everything. One of the most effective tools available to protect your interests during a property transaction is a Priority Notice. But what is it, how does it work, and when should you lodge one?

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What Is A Priority Notice?

A Priority Notice is a formal notice lodged with the Titles Queensland that alerts others of your pending interest in a property.

Think of it like a placeholder, as it doesn’t register your interest on the title, but it gives public notice that you intend to lodge a dealing (such as a transfer of ownership, mortgage, or lease), and that is should take priority over other dealings that are lodged after.

Who Uses Priority Notices?

In most standard residential conveyancing transactions, and Priority Notice is generally not needed as there are only two (or three in the case of a lender) parties involved in the transaction, and there is little risk of dealing being registered on title as a result of multi-party disputes, corporate leases or other complex dealings.

Lenders and financiers will commonly use priority notices to secure their mortgages ahead of any other potential claims on the property.

Our lawyers and conveyancers will use Priority Notices when needed as part of their conveyancing, family law and commercial conveyancing services to protect our clients' interests in property transactions, and assist with the preparation and lodgement of these notices.

When Should You Lodge A Priority Notice?

You should consider lodging a Priority Notice once a formal agreement has been signed, such as a contract of sale or a mortgage agreement, and especially if there’s a delay before lodgement of the documents.

Common scenarios include:

Buying or selling a property
Once contracts are signed but before settlement
Refinancing or securing a mortgage
To preserve the priority of a lender’s interest
Registering a lease
To prevent another dealing being registered ahead of yours
Subdivision or development
Where multiple dealings are prepared ahead of title changes

Lodging a Priority Notice offers protection against fraudulent or accidental registrations in the interim.

Why Are Priority Notices Important?

Under Queensland’s property legislation, priority is generally determined by the order of registration, not the order of signing. That means if someone else registers a dealing before you do, even if it is after you've signed any agreement, their interest will generally take precedence.

A Priority Notice helps avoid:

Competing interests being registered ahead of yours
Unexpected delays in settlement
Administrative errors or oversights that affect your rights

While it doesn’t offer the same level of protection as a caveat, it’s often quicker and more cost-effective in routine property transactions.

Are There Any Limitations To Priority Notices?

One key limitation of a Priority Notices in Queensland is that it automatically expires 60 days after the date of lodgement.

In Queensland, the 60-day period can be extended only once by an additional 30 days, but this extension doesn't block any unregistered dealings (lodged during the original 60-day period) from being registered after the notice expires.

It’s important to understand that a Priority Notice simply protects the order in which your intended dealing is lodged, and it doesn’t stop all other dealings from being registered. For example, caveats aren’t affected by a Priority Notice, and multiple Priority Notices can be lodged on the same title, creating potential competition.

While Priority Notices are cost-effective and easy to lodge, they’re not always appropriate.

Do I Need A Lawyer To Lodge A Priority Notice?

Yes, and here’s why...

Lodging a Priority Notice is just one part of a transaction. In conveyancing matters, to ensure everything runs smoothly (from contract review to settlement), it’s important to get experienced and tailored legal advice. Engaging a lawyer only to lodge a priority notice neglects the opportunity for a lawyer to best understand your needs and what you are trying to achieve. You may find that a Priority Notice is not the best path forward depending on your specific needs.

At RHC Solicitors, we handle all aspects of conveyancing and property law across Queensland, and can advise you when and how to use a Priority Notice effectively. Don't hesitate to contact us to discuss how we can help.

Disclaimer: This publication is not intended to be comprehensive, nor does it constitute legal advice. We are unable to ensure the information is current and there is no guarantee in relation to accuracy. You should seek legal or other professional advice before acting or relying on any of the content of this publication. The views and/or opinions expressed in this publication is that of the author and may not necessarily represent the views and/or opinions of RHC Solicitors.