What Is a Covenant?
A covenant is a binding agreement registered on a property title that restricts or requires certain actions by the property owner. In Queensland, covenants are one of the most common encumbrances found on certificates of title, particularly in newer residential estates and heritage areas.
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Unlike easements, which grant rights to use land, covenants impose obligations or restrictions on how land can be used. They are legally enforceable and transfer with the land — meaning they bind every future owner, not just the person who originally agreed to them.
Types of Covenants in Queensland
Restrictive Covenants
Restrictive covenants limit what you can do with your property. Common examples include:
- Building materials: Requirements to use brick, render, or specific cladding
- Minimum dwelling size: A minimum floor area (e.g., 180 sqm) for any house built on the lot
- Fencing standards: Requirements for fence type, height, and material
- Vehicle storage: Prohibitions on storing boats, caravans, or trailers in view from the street
- Land use: Restrictions limiting the property to residential use only
- Colour schemes: Requirements to use approved exterior paint colours
Positive Covenants
Positive covenants require the owner to do something, such as:
- Maintain landscaping in the front setback area
- Keep the property in a clean and tidy condition
- Contribute to the maintenance of shared infrastructure
Building Covenants
Developers frequently register building covenants on new estates to maintain a consistent standard across the development. These typically expire after a set period (often 10-15 years from registration) or once the estate is fully developed.
How Covenants Appear on Your Title
Covenants are listed in the Second Schedule of your Queensland certificate of title, alongside easements and other encumbrances. Each covenant references a dealing instrument number that contains the full terms.
A Current Title Search ($74.50 AUD) from TitleFinder will show whether any covenants are registered on a property. To read the actual covenant terms, you need the Image of Dealing Instrument ($91.80 AUD).
Who Enforces Covenants?
Covenant enforcement depends on who benefits from the covenant:
- Developer covenants: The developer or their nominated body (often a residents' association) can enforce the covenant during the development phase
- Neighbour covenants: If a covenant benefits adjoining lots, any affected neighbour can seek enforcement through the courts
- Council covenants: Some covenants are held by local councils, particularly those relating to environmental protection or stormwater management
Enforcement typically involves seeking an injunction through the Supreme Court of Queensland. This can be expensive, which is why many covenant breaches go unchallenged — but the legal risk remains.
Can Covenants Be Removed?
Yes, but the process varies depending on the type of covenant:
- By agreement: If the benefiting party agrees, the covenant can be surrendered and removed from the title
- By court order: Under the Property Law Act 1974, you can apply to the Supreme Court to modify or extinguish a covenant if it is obsolete, unreasonable, or the character of the neighbourhood has changed
- By expiry: Some building covenants include a sunset clause and automatically expire after a set period
Removing a covenant requires lodging the appropriate document with the Titles Registry to update the title record.
Why Covenants Matter for Buyers
Covenants can significantly affect your plans for a property:
- Renovation restrictions: You may not be able to extend or modify your home as planned
- Subdivision limits: Covenants can prevent subdivision even if council zoning would allow it
- Cost implications: Building material and design requirements can increase construction costs
- Resale impact: Restrictive covenants can be either positive (maintaining estate standards) or negative (limiting buyer pool) for resale value
Practical Due Diligence Steps
Before purchasing any Queensland property, follow these steps to understand covenant impacts:
- Order a Current Title Search ($74.50) — identify all registered covenants
- Request the Dealing Instrument ($91.80) — read the full covenant terms
- Check for sunset clauses — some covenants may have already expired
- Review the Survey Plan ($85.90) — understand any spatial restrictions
- Consult your solicitor — get legal advice on enforcement and removal options
Search Your Property Today
Don't let hidden covenants catch you off guard. TitleFinder provides fast access to all Queensland title documents you need for thorough due diligence:
- Current Title Search — $74.50
- Historical Title Search — $86.50
- Image of Dealing Instrument — $91.80
- Image of Survey Plan — $85.90
Visit TitleFinder.com.au to search now and make informed property decisions.