Overview
- Under a bill to be introduced next year, agents would have to publish a seller’s reserve at least seven days before auctions or fixed-date sales, with non-compliance preventing the auction or sale from proceeding.
- The reform targets underquoting, which is illegal under federal consumer law but hard to police because reserves are not currently disclosed.
- Real-estate leaders and buyers’ advocates criticised the plan, with the REIV and Jellis Craig calling it overreach and advocates warning it could lock in vendors’ positions and compress buyers’ due-diligence timelines.
- Supporters say clearer pricing guidance should improve fairness and reduce emotional bidding, though analysts expect limited impact on overall price levels and warn sellers may set higher reserves.
- Other states have not committed to Victoria’s model, with NSW focusing on stricter price-guide enforcement and Queensland banning auction price guides, as Victoria begins consultation amid calls to release a shelved 2022 pricing inquiry.