Buyers have been warned when putting their property contracts through basic AI tools to check the details, as it could leave them worse off further down the transaction line.
Richard Bootle, Co-Founder of BuySecure mentions this practice could be dangerous, exposing buyers to risks by failing to uncover critical legal issues which could have financial consequences.
He adds while AI tools could be advantageous when used more widely, they lack a precise understanding of Australian property law and often are unable to recognise state-specific requirements.
“People are using ChatGPT to review the most important legal document they’re likely to ever sign. Buyers are getting summaries that look helpful but often miss the details that matter.”
Richard Bootle, Co-Founder, BuySecure
Richard mentions that buyers using AI to review a contract can form a false sense of security among those who felt they had done their due diligence, when they had not. For the purchaser’s protection throughout the purchase, Richard says they were better off using specialised contract review platforms and opting for professional advice.
“Generic AI can’t detect missing disclosures, unusual settlement terms, or one-sided special conditions because it is simply not built for that.
A clause that looks harmless in an AI summary might carry major financial consequences under Queensland or NSW legislation.”
Richard Bootle, Co-Founder, BuySecure
He also says while AI has become a part of society, the danger lies in using the tool for the wrong purpose, as opposed to the tools themselves.
“Buyers deserve tools built for Australian law, contracts, and consumer protection, and not global chatbots that treat every contract as interchangeable. At the end of the day, it is important to understand that digital contract reviews can provide buyers with an affordable contract review at any time, but they should never replace professional legal advice.”
Richard Bootle, Co-Founder, BuySecure
Richard adds that buyers should note while AI could appear to help them feel more confident about their purchase, it doesn’t substitute legitimate advice.
“Buying property is one of the biggest financial decisions anyone usually makes, so it stands to reason that you should always protect your purchase with professional advice from an actual human being during the transaction.”
Richard Bootle, Co-Founder, BuySecure
