Buyer’s guide · NSW
The agent wants a 66W certificate: what you’re giving up
Sellers often ask buyers to waive cooling-off before they’ll accept an offer. Here’s what a section 66W certificate does, what it can cost you, and what to check before you sign one.
You’ve made an offer, the agent comes back with good news, and then there’s a catch. The seller will only exchange if you give them a 66W certificate. It’s one of the most common requests in the NSW market, and it usually comes with a deadline.
Signing one isn’t automatically a mistake. But it changes your position completely. Once a 66W certificate is given, there’s no cooling-off period and the contract binds you the moment it’s exchanged. This guide covers what you’re giving up and what needs to happen before you agree. For the general rules, see our guide to cooling-off periods in NSW.
Key takeaways
- A 66W certificate waives your 5 business day cooling-off period, so the contract binds you on exchange.
- Pulling out during cooling-off costs 0.25% of the price. After a 66W, walking away usually puts your whole deposit at risk.
- It must be signed by a solicitor or licensed conveyancer who doesn’t act for the seller, after they’ve explained the contract and the certificate to you.
- Your contract review, finance and inspections need to be done before you sign, not after.
- You can often ask for something in return, such as a 5% deposit or a longer settlement.
On this page
What a 66W certificate actually does
When you buy residential property in NSW, you normally get a cooling-off period of 5 business days after exchange. It ends at 5pm on the fifth business day. During that time you can pull out for any reason by giving written notice. You forfeit 0.25% of the purchase price, which is $250 for every $100,000.
Section 66W of the Conveyancing Act 1919 lets you give up that right. Your lawyer signs a certificate, it’s handed to the seller at exchange, and the cooling-off period no longer applies. The contract is binding from that moment.
Sellers like it for an obvious reason. A buyer with cooling-off can walk away for a small cost. A buyer who has given a 66W can’t, so the seller knows the deal is locked in.
| With cooling-off | With a 66W certificate | |
|---|---|---|
| When you’re bound | 5pm on the fifth business day after exchange | Immediately on exchange |
| Cost to pull out | 0.25% of the price | Usually your deposit (often 10%), and possibly more |
| Time for checks after exchange | Up to 5 business days | None |
| Deposit at exchange | Often 0.25%, with the balance due before cooling-off ends | Usually the full agreed deposit |
Who signs it and what they must explain
The certificate must be in writing and signed by a solicitor or licensed conveyancer who isn’t acting for the seller and isn’t in the same firm as the seller’s lawyer. It must state that they’ve explained three things to you: the effect of the contract, the nature of the certificate, and the effect of giving it to the seller.
That explanation is the whole point. The law doesn’t let you waive cooling-off by ticking a box. Someone independent has to take you through it first. If anyone connected to the seller offers to arrange your 66W for you, say no.
A careful lawyer won’t sign a 66W on the spot. They’ll want to see the contract, ask about your finance and inspections, and make sure you understand what happens if settlement goes wrong.
What can go wrong after you sign
The real risk isn’t the certificate. It’s finding a problem after you’ve lost the ability to walk away cheaply. These are the situations we see most often.
Your finance falls through
Pre-approval isn’t formal approval. A lender can still say no once it values the property or reviews the contract. If you’ve given a 66W and the loan doesn’t come through, you’re still bound to settle. If you can’t, the seller can usually end the contract, keep the deposit and claim any further loss.
The building report finds something serious
Without cooling-off, a bad inspection report isn’t a way out. You’d have to settle and fix the problem yourself, or try to negotiate with a seller who has no reason to move.
The contract has terms you didn’t expect
Special conditions can shift cost and risk onto you. Think late settlement penalties, limits on the questions you can ask about title, early release of the deposit, or a seller’s right to delay settlement. Once you’ve exchanged unconditionally, those terms are yours.
The strata records show a problem
For units and townhouses, special levies, defects and disputes often only show up in the owners corporation’s records. If you haven’t seen them before exchange, you’re taking them on blind. Our strata buying guide covers what to look for.
What to do before you agree to a 66W
Before you sign a 66W
- Have your lawyer review the contract and negotiate any unfair special conditions.
- Confirm your finance with your lender or broker, and ask whether formal approval is possible before exchange.
- Get a building and pest inspection, and a strata report for a unit or townhouse.
- Check the deposit amount and how you’ll pay it on the day of exchange.
- Make sure the settlement date works with any sale you’re relying on.
- Check every buyer is named correctly in the contract.
If time is tight, tell your lawyer straight away. Once your checks are in, the certificate itself is quick. It’s the checks that take the time, so start them as soon as you’re serious about a property.
What you can ask for in return
A 66W gives the seller certainty. That’s worth something, so it’s reasonable to ask for something back. Common requests include:
- A 5% deposit instead of 10%, which keeps more cash free for settlement
- A deposit bond or guarantee instead of cash, if you can get one
- A longer or more flexible settlement date
- Changes to special conditions your lawyer has flagged
- Inclusions confirmed in writing, such as appliances, blinds or solar batteries
The seller can say no. But asking costs nothing. Our view, which is speculative and depends on the property, is that sellers in a softer market are often more flexible than the agent first suggests. Our deposits guide explains how the deposit works.
Do you have to give one?
No. A 66W is a request, not a legal requirement. You can offer to exchange with the normal cooling-off period, or agree in writing to a shorter one. The NSW Government confirms the period can be reduced or extended by agreement.
The trade-off is competition. If another buyer will give a 66W and you won’t, the seller may choose them. Whether that’s a risk worth taking depends on how complete your checks are and how much you could afford to lose.
At auction the question doesn’t come up. There’s no cooling-off for a property bought at auction, or for a contract exchanged on auction day after the property is passed in. See our guide to buying at auction in NSW and our guide to pre-auction offers.
Frequently asked questions
How much does it cost to pull out during cooling-off in NSW?
0.25% of the purchase price, which is $250 for every $100,000. If you’ve given a 66W certificate, there’s no cooling-off period to use.
Can a conveyancer sign a 66W certificate?
Yes. A solicitor or licensed conveyancer can sign it, as long as they don’t act for the seller. They must explain the contract and the effect of the certificate to you first.
Can the seller pull out if I give a 66W?
Sellers in NSW don’t get a cooling-off period. Once contracts are exchanged, the seller is bound too, whether or not you give a 66W.
Is a 66W the same as an unconditional offer?
In practice, yes. The contract binds you from exchange, with no finance or inspection conditions unless they’ve been negotiated into the contract.
How quickly can a 66W be done?
Once your contract review, finance and inspections are done, the certificate is quick. The checks take the time, so start them early.
Need help with a 66W certificate?
Talk to our property team
Property & Conveyancing
Our team can review the contract, talk you through your finance and inspection results, negotiate the special conditions and sign your 66W certificate when you’re ready. You’ll know exactly what you’re committing to before you exchange.
This article is general information only and is not legal advice. It reflects NSW law at the date of publication. Please contact us for advice about your circumstances.
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