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Underquoting
Underquoting can occur when a property is advertised at a price that:
- is less than the estimated selling price
- is less than the seller's asking price
- has already been rejected by the seller.
Under Victoria’s underquoting laws, estate agents and agents' representatives have obligations relating to:
- the estimated selling price
- comparable property sales
- a Property Price Statement for prospective buyers, and
- advertising prices, terms and symbols.
These laws complement the false and misleading representation provisions of the Australian Consumer Law (ACL). For more about the ACL provisions, go to Advertising and representations.
The underquoting laws apply to residential property sales. They do not apply to the sale of rural, commercial and industrial properties, but agents selling these kinds of property must continue to comply with the ACL. For more information, go to False or misleading representations.
Property Price Statement (formerly Statement of Information)
For auctions and fixed-date sales held on and from 16 October 2026, and for all other sales from 1 October 2026, agents must use the new Property Price Statement and:
- include the key features of the property being sold and of each comparable property
- display the Property Price Statement (or a link to it) prominently in advertisements
- update the Property Price Statement to include the property's final sale price once a sale becomes unconditional.
For more detail, go to Comparable properties, Seller’s reserve price disclosure and Sale price disclosure below.
Agents must prepare a Property Price Statement, in an approved form, for each residential property they are engaged to sell, whether or not the property is advertised for sale.
The Property Price Statement must be:
- displayed at all open for inspections
- prominently displayed on any main online advertisement for the property, which means it must be displayed visibly or via a hyperlink immediately next to the advertised price on the first visible part of the listing
- included on any physical advertisement via a QR code or link to a website
- given to a prospective buyer within 2 business days of a request
- updated if there is a change in the indicative selling price
- updated if the seller’s reserve price has been received
- updated with the property’s sale price after a sale becomes unconditional.
The Property Price Statement must include:
- an indicative selling price for the property, which must be a single price or a price range of up to 10%. It must not be less than:
- the agent’s estimated selling price
- the seller's asking price
- a price in a written offer that has already been rejected by the seller.
- the seller’s reserve price when the agent receives it but no later than 7 days out from an auction or fixed-date sale
- the key features of the property being sold
- details of the most comparable properties, including the address, date of sale, sale price and key features. Read Comparable properties.
- a statement if fewer than 3 comparable sales were taken into account when setting the estimated selling price
- the median price for the same type of property in the same suburb as the property for sale.
- within 7 days of the sale going unconditional, the property’s sale price, unless an exemption has been granted by the Director, CAV.
Agents must publish a Property Price Statement online for at least 18 months after the sale has gone unconditional.
An agent selling vacant land with approval or plans to build a house or unit must complete the Property Price Statement in the normal way and:
- if the land has approval for a house, use the suburb median price for a house
- if it has approval for a unit, use the suburb median price for a unit.
Download the new Property Price Statement forms (updated September 2026):
For properties in metropolitan Melbourne:
For properties outside metropolitan Melbourne:
Download the related resources:
Estimated selling price
An agent's estimated selling price must:
- be reasonable, and
- take into account the sale prices of the 3 properties that are most comparable to the property for sale (or, if they can’t find 3 comparable properties but can find 1 or 2, they must take into account the 1 or 2 comparable properties that they can find).
The estimated selling price must be included in the sales authority, in the approved form, and may be a:
- single price - for example, $500,000, or
- range of up to 10% - for example, $500,000 to $550,000.
Download our Approved form for use in agency authority - estimated selling price (Word, 73 KB).
If an estimated selling price changes because it ceases to be reasonable, the agent must:
- inform the seller in writing
- update the sales authority, and
- update the sales advertising.
Comparable properties
To be comparable, a property must be:
- of a similar standard or condition to the property for sale
- sold in the last 6 months and be within 2 kilometres of the property for sale (if the property for sale is in the Melbourne metropolitan area)
- sold in the last 18 months and be within 5 kilometres of the property for sale (if the property for sale is outside the Melbourne metropolitan area).
Download our Determination of Melbourne metropolitan area (Word, 101KB) or Determination of Melbourne metropolitan area (PDF, 29KB).
When selecting the most comparable properties, the agent must take into account:
The Guidelines set out that the agent must also take into account similarities and differences between the property for sale and the comparable properties regarding:
- age
- build status (such as renovated or unrenovated)
- neighbourhood features and school zoning, and
- whether there are substantially similar properties available for comparison (for example, duplexes or properties in the same estate or apartment complex).
Agents must use all data and information they have about recently sold properties, including the details of undisclosed property sales, to select the 3 most comparable property sales.
Agents cannot avoid their obligations to select and provide the 3 most comparable property sales in a Property Price Statement by entering into or relying on any confidentiality agreement (verbal or written) with a seller or buyer that restricts them from using or disclosing information about the sale of a property.
If an agent can only identify 1 or 2 comparable properties, but not 3, they must take those properties into account when determining the estimated selling price. Regardless of how many comparable properties are taken into account (even if there were no comparable properties), the estimated selling price must nevertheless be reasonable.
Agents should keep records of how they selected the 3 most comparable properties. Agents can be required to give information or produce documents to us to substantiate their determination of the 3 most comparable properties. Penalties apply for failing to comply without reasonable excuse.
Advertising prices, terms and symbols
When marketing a property for sale, the agent may advertise the price as a single figure or a range of up to 10%.
Agents must not use any words or symbols to qualify a price, such as:
- 'offers above'
- 'from'
- '+'.
The price at which an agent advertises or advises that a property is for sale must not be less than:
- their estimated selling price
- the seller's asking price, if one was provided, or
- a price in a written offer that was rejected by the seller.
The seller can choose to provide an asking price in writing at the time of signing the sales authority, or they may indicate the price they are willing to consider by rejecting an offer.
If the seller indicates an asking price, the agent cannot advertise the property at:
- a price below the seller's asking price, or
- any price in a written offer that the seller has rejected.
If the seller does not indicate an asking price, the agent cannot advertise the property at a price below the agent's estimated selling price.
If the agent's estimated selling price changes, or the seller rejects a higher written offer, the agent must remove or update:
- online advertising within one business day, and
- all other advertising as soon as practicable.
Seller’s reserve price disclosure
Under new rules from 1 October 2026, if a property is being sold by auction or fixed-date sale, the agent must publish the seller’s reserve price at least 7 days before the auction or fixed-date sale.
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 is a fixed-date sale?
A fixed-date sale is any sale method where a property seller sets a date and time by which potential buyers must make an offer to buy the property.
Receiving the seller’s reserve price
To receive the seller’s reserve price, the agent must first ask the seller to provide their reserve price. The request must be in writing, and it must also include:
- a statement with the agent’s proposed reserve price, the reasons for their proposed reserve price and a note that the reserve price must be a single dollar amount that is not described with additional words or symbols such as ‘from’, ‘over’, ‘+’ or ‘starting at’
- a statement setting out how the seller can respond to the proposed reserve price.
The seller may respond to the agent’s proposed reserve price by:
- accepting the proposed reserve price by providing signed confirmation
- requesting another proposed reserve price, or
- specifying the seller’s own reserve price with signed confirmation.
Publishing the seller’s reserve price
At least 7 days out from an auction or fixed-date sale, an agent must:
- publish the seller’s reserve price by including the seller's reserve price in any advertisement for the property
- update all marketing materials to reflect the reserve price once it is set, and withdraw outdated advertising immediately
- include the seller’s reserve price, once it has been received, in the Property Price Statement.
The seller’s reserve price must be a single dollar amount that is not modified by any additional words or symbols, such as ‘from’, ‘over’, ‘+’ or ‘starting at’..
An auction or fixed-date sale will not be able to proceed unless the reserve price has been published for the full 7-day period.
Pre-auction offers
Agents must provide all verbal and written offers to the seller, unless the seller has instructed the agent otherwise in writing.
If the seller has given the agent written instructions not to advise them of pre-auction offers, the agent must inform prospective buyers that their offer will not be submitted to the seller.
If an agent has already published the seller’s reserve price before the seller receives a pre-auction offer, the seller can accept the offer and proceed with the sale even if the reserve price has not been published for 7 days.
What is a written offer?
A written offer is not just an offer that is contained in a contract of sale.
It is an offer in any written format which, at a minimum, states the price being offered by the prospective buyer, and any other terms being proposed.
If the seller rejects a written offer
If the seller rejects a written offer because it is too low, the agent must update:
- the indicative selling price
- any advertised price that is lower than the rejected written offer.
If the seller rejects a written offer because it is too low after the seller’s reserve price has been published, the agent must update the indicative selling price in the Property Price Statement. The agent does not need to update the seller’s reserve price unless the seller wishes to do so.
Agents do not have to update anything if the seller rejects a written offer for another reason, like the terms of the offer being unacceptable.
Sale price disclosure
Under new rules starting on 1 October 2026, within 7 days of a sale becoming unconditional, agents must publish the property's final sale price as part of the Property Price Statement and make sure that the Property Price Statement is published online, free of charge, for at least 18 months following the date when the sale became unconditional.
The requirement to disclose the sale 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.
Exemption from disclosing the sale price
You can apply to Consumer Affairs Victoria for an exemption from disclosing the sale price on the Property Price Statement if there are circumstances related to family violence or personal violence involving the seller or purchaser.
Who can apply for an exemption?
The seller, the purchaser, or an estate agent or agent’s representative on the seller or purchaser’s behalf can apply for an exemption.
How to apply for an exemption
Apply using the online form.
Once Consumer Affairs Victoria receives the application, we will notify the person applying and the seller’s agent. The estate agent or agent’s representative can’t disclose the sale price while an application is being considered.
If we need more information to make a decision on an exemption application, we will contact the person applying.
Result of an exemption application
Once we have made a decision on the exemption application, we will inform the person applying and the seller’s agent. If we approve the exemption, we will also inform both the seller and the purchaser.
If we approve the exemption application, the seller’s agent must not disclose the sale price.
Enforcement and penalties
If we decide to investigate an agent's conduct, we may ask them to justify any pricing information that they gave to a seller or buyer, such as:
Agents who do not comply with underquoting laws risk a penalty of more than $50,000 (240 penalty units). For more information, go to:
For more serious offences - such as setting an unreasonable estimated selling price, or advertising a property below the estimated selling price - agents may also lose any commission received for selling the property.
We regularly inspect businesses to check that they are complying with our laws, or to investigate when there are signs that a business may not be doing so. Find more information about inspections.
For more information on the principles we adopt in achieving business compliance with our laws and undertaking enforcement action in the industries we regulate, go to Regulatory approach and compliance policy.
Information for buyers and sellers
Buyers and sellers can get more information about property price advertising, including reserve prices, on Understanding property prices.