- Published:
- Thursday 20 November 2025 at 10:15 am
Too many young Victorians and families are wasting their Saturdays at auctions, chasing the dream of having a home of their own – only to have the rug pulled out from under them and the house sell for more than the advertised price.
It’s why, as part of the Allan Labor Government’s ongoing work to stamp out the illegal practice of underquoting, Australian-first laws will be introduced next year requiring real estate agents to publish vendors' reserve prices ahead of an auction or fixed-date sale.
Currently, vendors can set a reserve or asking price as late as auction day – and at a level higher than advertised. This leads to Victorians showing up on auction day for a house they can’t afford.
The new laws will require agents to publish the actual reserve price at least seven days before auction day or fixed date of sale, and real estate agents that fail to disclose the reserve price within the time frame will not be allowed to proceed to auction or sale.
Real estate agents would also need to update all marketing materials to reflect the reserve price and stop using any previous advertising that does not contain the reserve price.
The change will make the stressful process of buying a home fairer and more transparent – giving Victorians the confidence that the advertised price will match the actual reserve price when bidding kicks off on auction day.
This follows recent changes which significantly strengthened the guidelines on selecting a comparable property used to determine a home’s likely sale price – setting clearer expectations of agents when listing a property.
Together, these changes will give buyers a more accurate indication of what constitutes a reasonable sale price ahead of auction day.
It’s just one part of the Labor Government’s work to stamp out underquoting including making Victoria’s nation-leading underquoting taskforce permanent – ensuring our sustained crackdown on underquoting has an active, frontline presence.
The taskforce uses a range of methods to monitor the property market, including tracking sales campaigns, inspecting agencies and attending auctions – with more than 200 infringements totaling more than $2.3 million in fines issued so far.
Victorians are encouraged to report suspected instances of underquoting to Consumer Affairs Victoria at consumer.vic.gov.au/underquoting.
Quotes attributable to Minister for Consumer Affairs Nick Staikos
“Underquoting isn’t fair and it’s young Victorians and families paying the price. That’s why we’re stamping it out by requiring reserve prices to be published at least seven days before an auction.”
“We want the housing market to be fair – that’s why we’re continuing to crack down on underquoting with strong laws, a dedicated taskforce and active enforcement.”