When selling your property, it’s natural to want security once a buyer signs an offer. However, not all sales go through without delay—especially when the offer is subject to conditions, such as the buyer needing to sell their own property or obtain bond approval.
To protect yourself from missed opportunities and lengthy waiting periods, there’s a powerful clause every seller should consider: the 72-hour clause.
What Is a 72-Hour Clause?
Also known as a “continued marketing clause” or “escape clause”, the 72-hour clause allows the seller to keep marketing their property even after accepting a conditional offer.
If a second buyer submits an offer (usually unconditional or more favourable), the seller can then notify the original buyer, who has 72 hours (excluding weekends and public holidays) to:
- Fulfil or waive their suspensive conditions, or
- Step aside, allowing the seller to accept the new offer.
Why Is This Clause So Important for Sellers?
1. Keeps Your Options Open
A conditional offer can tie your hands for weeks or even months. With a 72-hour clause, you’re not locked in indefinitely while the buyer tries to get their ducks in a row.
2. Applies Gentle Pressure on the Buyer
It motivates the buyer to act swiftly, whether it’s securing finance or selling their property and reduces the risk of prolonged delays.
3. Prevents Losing Out on Better Offers
If a more qualified or cash buyer comes along, you’re in a position to pivot without breaching the first agreement.
4. Protects Against Market Shifts
The property market can shift quickly. The clause allows you to respond dynamically, especially in a fast-moving or competitive environment.
How It Works Legally
The clause must be clearly worded and included in the signed Offer to Purchase. It should specify:
- The timeframe (usually 72 hours, excluding weekends/public holidays)
- How notice must be given (typically in writing)
- What happens if the first buyer cannot comply
- This avoids ambiguity and ensures enforceability.
Tip: The clause doesn’t void the first offer; it simply gives the seller an “exit” option under certain conditions.