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Overview
What is changing?
New laws will introduce new requirements for how real estate agents disclose price information for residential property sales in Victoria.
Read a summary of the changes and when they start.
How do the reforms affect agents’ underquoting obligations?
The reforms introduce new requirements intended to improve price transparency and support more accurate pricing practices. These changes include:
- earlier public disclosure of the seller’s reserve price
- mandatory public disclosure of the sold price
- a new Property Price Statement
- stronger requirements for the use of comparable properties when setting the estimated selling price.
Agents must continue to comply with existing underquoting laws, including ensuring that a property is not advertised at a price that is:
- less than the estimated selling price
- less than the seller’s asking price, or
- less than a written offer that has already been rejected by the seller on the basis it is too low.
Agents should review how they set estimated selling prices and how they document their use of comparable sales.
What should industry start doing now?
Agents should start preparing now by reviewing their:
- sales and auction processes
- price information and advertising practices
- compliance procedures
- staff training, systems and guidance.
From 1 October 2026, agents must use the new Property Price Statement and comply with the new legal requirements.
What support will be available to help industry implement the changes?
Consumer Affairs Victoria will provide information to help agents and agencies understand the new requirements before they start. Agents should monitor this website for guidance material about:
- the new Property Price Statement
- reserve price disclosure requirements
- sold price disclosure requirements
- comparable property requirements
- compliance obligations and penalties.
Agencies may also wish to update internal policies, templates, training and quality assurance processes ahead of commencement.
Setting and publishing a reserve price
How are the laws on reserve prices changing?
From 1 October 2026, real estate agents must ask the seller, in writing, to provide their reserve price before the date of the auction or fixed-date sale. Agents must then publish the seller’s reserve price at least 7 days before an auction or fixed-date sale.
They must also:
- update all advertising and marketing materials (including the new Property Price Statement) to reflect the reserve price
- include the price in a single dollar amount, without words or symbols such as ‘from’, ‘over’, ‘+’ or ‘starting at’.
Do the new reserve price disclosure requirements apply to properties listed for sale before 1 October 2026?
The reserve price disclosure requirements apply to auctions and fixed-date sales held on and from 16 October 2026.
If an auction or fixed-date sale is held on 16 October 2026, the reserve price would need to have been disclosed by 9 October 2026.
What information must agents provide to sellers to inform their decision on a reserve price?
Agents must ask the seller in writing to provide their reserve price. When they make this request, agents must provide a statement of advice for setting a reserve price to the seller. This must include a recommended reserve price for the property, along with reasons for their recommendation and an explanation that the reserve price must be expressed as a single dollar amount.
Agents must also provide a statement explaining that the seller should respond in writing by providing signed confirmation of the recommended reserve price or asking for another reserve price.
Under the new rules, will sellers still be able to set their own reserve price?
Yes, sellers will still be able to set their reserve price, including a price above the price range advertised prior to the setting of the reserve price.
Sellers can reply in writing to the agent’s request for a reserve price, by either
- accepting the recommended reserve pricing and providing signed confirmation of this, or
- rejecting the recommended reserve price and either asking for another recommendation or specifying another reserve price and providing signed confirmation of this.
All advertising must be updated once the reserve price is set so that prospective buyers have at least 7 days’ notice before the auction or fixed-date sale.
What happens if a seller does not provide a reserve price by the 7-day deadline?
If a seller does not provide a reserve price, or the agent does not advertise the reserve price as required, the auction or fixed-date sale cannot go ahead.
Can a seller change their reserve price before the auction or fixed-date sale?
Yes, but if the seller changes the publicly disclosed reserve price before the auction or fixed-date sale, the 7-day period starts again.
The auction or fixed-date sale cannot take place until the revised reserve price has been publicly available for a further 7 days.
Does this apply only when the seller increases the reserve price?
It applies to any change to the published reserve price – either an increase or a decrease.
How do the reserve price disclosure rules affect pre-auction offers?
Pre-auction offers are treated as a private sale. They can happen as normal, without the 7 day-requirement. An offer can be accepted ahead of auction and the auction then cancelled as it is no longer required, as happens currently.
How do the reserve price disclosure rules affect boardroom auctions?
Boardroom auctions, which typically gather interested parties to bid before a public auction, fit under the definition of ‘fixed date sale’. An agent who wishes to conduct a boardroom auction must wait the full 7 days after the reserve price has been published.
Which rules apply when an agent invites offers by a certain date and time?
This could constitute a fixed-date sale and requires the seller’s reserve price to be disclosed for 7 days before the sale can proceed.
If a seller rejects a pre-auction offer that's higher than their published reserve price, are they required to amend the published reserve price and/or delay the auction?
If the offer is rejected because the seller wishes to proceed with the auction or fixed-date sale as previously decided, there is no requirement to make changes.
If the offer is rejected because the seller thinks it is too low, the agent must include an updated indicative selling price in the Property Price Statement accessible through the property’s online advertisement and in any other advertising or representations.
The seller decides their reserve price and may also choose to update it but does not have to. If they do choose to update the reserve price, the updated reserve price must be published and the date of auction must be extended by 7 days.
Property Price Statement
What is the Property Price Statement and what are the new requirements?
The Property Price Statement replaces the Statement of Information.
In addition to the current requirements for Statements of Information, it must include the key features of the property being sold, and list the key features of each comparable property.
It must also be prominently displayed on the advertisement.
What does ‘prominently displayed’ mean?
For online advertisements, the Property Price Statement must be displayed or hyperlinked on the first visible part of the main advertisement of the property being advertised for sale, and immediately next to the advertised price of the property.
This is a change from the current Statement of Information placement, where it is often hyperlinked at the bottom of the advertisement.
Any physical advertisements that specify information about the property must also include an internet address or QR code link to an internet address that contains the Property Price Statement.
What key features should be listed on the Property Price Statement?
The key features of the property being sold and the comparable properties must include:
- the type of building
- the number of bedrooms
- the number of bathrooms
- the number of car spaces
- the size of internal built areas (floor space) in square metres, and
- the total size of the land in square metres.
How should agents measure internal areas?
Agents should ensure their property measurements are accurate and reasonable, recorded in square metres, and clearly document the method used to capture them.
Where can I find the new Property Price Statement form?
Consumer Affairs Victoria will publish the new approved template soon, and before 1 October.
Do I need to update the Statement of Information to a Property Price Statement if the property was listed for sale before 1 October 2026?
The new Property Price Statement and its requirements apply to auctions and fixed-date sales held on and from 16 October 2026.
Agents will need to update existing listings and advertisements for properties listed to go to auction from 16 October. Consumer Affairs Victoria understands agents may need some time to transition existing listings to the new requirements.
Comparable properties
What is changing about how agents should take comparable properties into account?
Agents must continue to take into account properties comparable to the sale property when determining the estimated selling price included in the engagement or appointment entered into with the seller.
The definition of comparable property has not changed. It is still a property of a similar standard or condition to the property for sale, sold:
- in the last 6 months and within 2 kilometres of the sale property (for properties in the Melbourne metropolitan area), or
- in the last 18 months and within 5 kilometres of the sale property (for properties outside the Melbourne metropolitan area).
The new laws make clearer that agents must take into account the 3 properties most comparable. This is no longer a subjective test based on what the agent reasonably considers to be the most comparable properties. Instead, it is simply the 3 most comparable properties.
If there are only 1 or 2, but fewer than 3, comparable properties sold within the relevant time period, agents must take into account the sale prices of those 1 or 2 comparable properties. This is a change from the current rules, which state that if there are fewer than 3 comparable properties sold within the relevant time period, agents do not need to take comparable properties into account.
What needs to be included in the Property Price Statement about comparable properties?
Comparable properties must continue to be listed on the Property Price Statement. In addition to the address, sale price and date of sale of those properties, the key features of the properties will need to be listed.
If the agent did not take 3 comparable properties into account in determining the estimated selling price, agents will now need to include the reason why they believe fewer than 3 comparable properties were sold within the relevant time period. If they took the sale price of 1 or 2 comparable properties into account they will need to list those properties on the Property Price Statement.
Will there be more guidance on comparable properties?
Yes, Consumer Affairs Victoria will publish updated Director guidelines on comparable properties and an updated template for the Property Price Statement soon.
Mandatory disclosure of sold prices
What are agents required to do about sold price disclosure?
Agents must include the sold price on the Property Price Statement no later than 7 days after the sale becomes unconditional, unless an exemption has been approved by the Director of Consumer Affairs Victoria (or an application for exemption has been applied for and a decision is still pending).
The Property Price Statement must then remain publicly available for at least 18 months after the sale.
Agents should have processes in place to:
1. Identify when a sale becomes unconditional.
2. Update the sold price within the required timeframe.
3. Retain the Property Price Statement online for the required period.
4. Advise clients of their right to seek an exemption from publication and help them apply if relevant.
When must agents publish the sold price?
Agents must publish the sold price by publishing the updated Property Price Statement on the internet no later than 7 days after the contract of sale becomes unconditional.
This is earlier than the current process, under which sold prices are disclosed to the Valuer-General following settlement, which may occur 30 to 90 days after the contract is signed.
Does this requirement apply to properties listed for sale before 1 October 2026 but sold after 1 October 2026?
The requirement to disclose the sold price in the Property Price Statement applies to all properties sold after 1 October 2026, unless:
1. The agent’s written engagement or appointment to sell a property was entered into before 1 October 2026, and
2. The engagement or appointment to sell the property includes a term which requires the sale price to not be disclosed.
Are there any exemptions from the requirement to publish a sold price?
Yes. A seller, purchaser, estate agent or agent’s representative may apply to the Director of Consumer Affairs Victoria for an exemption from the requirement to publish the sold price for circumstances related to family violence or personal violence involving the seller or purchaser.
A seller’s or buyer’s general preference not to disclose the sold price will not be enough on its own to justify an exemption.
If an exemption has been granted or is still pending, agents must not publish the updated Property Price Statement with the sold price included. Doing so is an offence.
How can an exemption be applied for?
The application for an exemption must be made within 7 days after the unconditional sale date, in the form approved by the Director. Consumer Affairs Victoria will publish more information about this process soon.
Where an application for an exemption is made, Consumer Affairs Victoria will give notice of receipt to the applicant and to the seller’s estate agent.
Consumer Affairs Victoria may ask the applicant to provide further information to help decide on the application.
Written notice of the decision will be provided once made. If the exemption is granted, notice will be provided to the seller, the purchaser and the seller’s estate agent. If the exemption is refused, notice will only be provided to the applicant and the seller’s estate agent.
Agents should keep records about any application or decision for an exemption to support their actions in publishing or not publishing a sold price.
What records should agents keep to support the accuracy of sold price disclosures?
Agents should keep clear records showing:
- the contract sale price
- when the sale became unconditional
- when the sold price was published
- whether any exemption applied, and
- the basis for relying on that exemption.
Consumer Affairs Victoria has powers to inspect records and investigate possible breaches. Good recordkeeping will help agents demonstrate compliance with the new requirements.
Do the new disclosure requirements apply to all agents?
Yes. The new disclosure requirements apply across the industry.
Agents should ensure their advertising, sales and post-sale processes are updated so they can meet the new obligations consistently across all relevant listings.
Compliance, enforcement and penalties
What are the penalties for non-compliance with the underquoting reforms?
Penalties apply for breaches of the underquoting laws, including the new disclosure requirements.
For example, agents who fail to publish sold prices as required may face maximum penalties of 240 penalty units, currently $48,842. Agents should also be aware that:
- existing underquoting offences continue to apply
- higher penalties introduced under earlier reforms remain in place
- the Australian Consumer Law may also apply in some circumstances.
Agencies should review their compliance systems regularly to reduce the risk of breaches.
What compliance activity should agents expect from Consumer Affairs Victoria?
Our first priority is to support the industry to understand and comply with the new laws so that property sales operate fairly and transparently for all.
We will continue to take an intelligence-led, risk-based, and outcome-focused regulatory approach which enables voluntary compliance.
Our Underquoting Taskforce will continue to monitor online sales campaigns, review sales files, attend auctions and respond to reports of suspected underquoting. It will investigate potential breaches and take targeted enforcement action where necessary.
Agents should ensure they have clear internal processes and records to demonstrate that they met the new legal requirements, within the required timeframe, and in accordance with any applicable exemption.
What enforcement action can Consumer Affairs Victoria take for underquoting breaches?
Consumer Affairs Victoria can take a range of enforcement actions where it identifies possible breaches of underquoting laws.
Depending on the circumstances, this may include official warnings, infringement notices, court or tribunal action.