Victoria has introduced significant changes to its property sales and underquoting laws, giving homebuyers greater access to pricing information and introducing new disclosure requirements for real estate agents.
The changes, which began on 1 October 2026, are designed to improve transparency in Victoria’s property market and help buyers make more informed decisions before attending auctions or making offers.
According to Consumer Affairs Victoria’s guidance on property sales and underquoting law changes , the reforms introduce new requirements for reserve price disclosure, property pricing information and the publication of sold prices.
One of the biggest changes is the requirement for real estate agents to publicly disclose a seller’s reserve price at least seven days before an auction or fixed-date sale.
But that’s not the only change. New Property Price Statements, mandatory disclosure of sold prices and additional requirements for comparable property information are also part of the reforms.
Whether you’re buying or selling property in Melbourne or elsewhere in Victoria, here’s what you need to know about the new rules and how they may affect your property transaction.
What Are the Changes to Victoria’s Property Sales and Underquoting Laws?
The Victorian Government has introduced new property pricing rules to improve transparency and address underquoting in residential property sales.
Under the reforms, real estate agents must:
- Disclose reserve prices before auctions: Publish the seller’s reserve price at least seven days before an auction or fixed-date sale.
- Use a new Property Price Statement: Replace the previous Statement of Information with a more detailed document outlining property features and comparable sales.
- Publish final sold prices: Disclose the property’s sale price within seven days of the sale becoming unconditional, subject to applicable exceptions.
- Provide more comparable property information: Include one or two comparable properties where three cannot reasonably be identified.
- Comply with additional disclosure requirements: Further changes relating to Section 32 statements, deposits and agent commissions will take effect in 2027.
Most of the initial reforms commenced on 1 October 2026, with the new auction and fixed-date sale requirements applying to sales held from 16 October 2026.
1. Reserve Prices Must Be Disclosed Before Property Auctions
One of the most significant changes to Victoria’s property sales laws concerns reserve price disclosure.
Previously, buyers attending auctions often had to rely on advertised price guides without knowing the seller’s actual reserve price.
Under the new laws, real estate agents must publish the seller’s reserve price at least seven days before an auction or fixed-date sale.
What Is a Reserve Price in a Property Auction?
A reserve price is the minimum price a seller has set for their property to be sold at auction.
For example, a property might initially be advertised with an indicative selling price of $850,000 to $900,000.
If the seller sets a reserve price of $920,000, the agent must disclose that reserve price at least seven days before the auction and update the advertising accordingly.
This gives prospective buyers clearer information about the seller’s price expectations before they commit time and money to preparing for an auction.
However, the reserve price does not necessarily represent the property’s market value or final selling price. Competitive bidding may push the sale price above the reserve, and a seller may also choose to accept a lower offer.
When Must the Reserve Price Be Published?
For auctions and fixed-date sales held on or after 16 October 2026, the reserve price must be publicly available at least seven days beforehand.
Real estate agents must also:
- Display the reserve price as a single dollar amount.
- Update advertising and marketing materials to reflect the reserve price.
- Include the reserve price in the Property Price Statement.
- Remove outdated advertising that no longer reflects the disclosed reserve.
The advertised reserve cannot be expressed using terms such as “from $900,000”, “over 900,000″or”900,000+”.
If the reserve price has not been published for the required seven-day period, the auction or fixed-date sale cannot proceed as scheduled.
Do the New Reserve Price Rules Apply to Private Sales?
The seven-day reserve price disclosure requirement applies to residential auctions and fixed-date sales managed by real estate agents.
A fixed-date sale is a selling method where buyers must submit offers by a specified date and time. This can include expressions of interest campaigns with a closing deadline.
Ordinary private sales without a fixed deadline are not subject to the same seven-day reserve disclosure requirement.
However, other pricing and underquoting obligations may still apply.
2. A New Property Price Statement Replaces the Statement of Information
Another important change is the introduction of the Property Price Statement (PPS), which replaces the previous Statement of Information.
The Property Price Statement provides prospective buyers with more detailed information about a property’s pricing and the comparable properties used to support the agent’s estimated selling price.
What Information Is Included in a Property Price Statement?
The new statement includes information such as:
- The property’s indicative selling price.
- Key features of the property being sold.
- Details of comparable properties used to support the price estimate.
- Key features of those comparable properties.
- The seller’s reserve price, once it has been provided and is required to be disclosed.
- The final sold price once the sale becomes unconditional, where disclosure is required.
The aim is to help buyers better understand how the advertised price has been determined and compare it with similar properties.
Where Can Buyers Find the Property Price Statement?
Under the new requirements, real estate agents must display the Property Price Statement prominently in online property advertisements.
Rather than placing it at the bottom of a listing, the statement or a link to it must appear in the first visible section of the main advertisement, immediately next to the advertised price.
This makes important pricing information easier for prospective buyers to find.
3. Property Sold Prices Must Be Made Public
Victoria’s new property sales laws also introduce mandatory disclosure of final sale prices.
Previously, some property listings displayed terms such as “price withheld” instead of revealing the amount paid by the buyer.
Under the new rules, real estate agents generally must publish the final sale price within seven days after a property sale becomes unconditional.
The sold price must be included in the Property Price Statement, which must remain publicly accessible online, free of charge, for at least 18 months.
These requirements apply to sales becoming unconditional on or after 1 October 2026, subject to applicable exceptions.
Are There Exceptions to Sold Price Disclosure?
Yes. Consumer Affairs Victoria may grant exemptions where personal or family violence circumstances involving the buyer or seller justify withholding the sale price.
Certain existing agency agreements entered into before 1 October 2026 may also be excluded where they contain a term preventing disclosure of the sale price.
For buyers, greater access to actual sale prices can make it easier to research recent property transactions and assess local market conditions.
4. Changes to Comparable Property Requirements
Comparable properties play an important role in determining a property’s estimated selling price.
Real estate agents generally use recent sales of similar properties to support their price estimates.
Under Victoria’s updated requirements, agents who cannot identify three comparable properties but can identify one or two must include those available comparable properties in the Property Price Statement.
The statement must also provide key features of each comparable property, allowing buyers to better understand how the properties compare.
For example, buyers may be able to assess differences in property size, location, condition and other relevant characteristics rather than relying solely on the final sale prices.
This additional information can help buyers evaluate whether an advertised price is reasonable.
5. What Is Underquoting in Victoria?
Underquoting occurs when a real estate agent advertises or represents a property at a price below what the law permits, such as below the agent’s reasonable estimated selling price or a seller’s disclosed asking or reserve price.
Underquoting was already illegal in Victoria before the latest reforms.
The new laws introduce additional transparency measures intended to reduce misleading pricing practices and give buyers clearer information about a seller’s expectations.
How Do the New Laws Help Prevent Underquoting?
The changes address several issues that can make property pricing difficult for buyers to understand.
First, mandatory reserve price disclosure means buyers attending an auction will generally know the seller’s stated minimum price in advance.
Second, the Property Price Statement provides more detailed information about comparable sales and the property’s estimated selling price.
Finally, mandatory sold price disclosure gives buyers greater access to actual transaction results.
Together, these measures are intended to improve accountability and make property pricing more transparent.
However, the reforms do not guarantee that a property will sell for its advertised price or disclosed reserve.
6. What Do Victoria’s New Property Laws Mean for Buyers?
For people buying property in Melbourne or elsewhere in Victoria, the changes provide greater access to information during the purchasing process.
More Transparency Before Auctions
Knowing the reserve price at least seven days before an auction can help buyers determine whether a property is likely to fit their budget.
It may also help buyers avoid spending money on inspections and other preparations for properties where the seller’s expectations are significantly above their budget.
Better Information for Comparing Property Prices
The new Property Price Statement and sold price disclosure requirements give buyers additional information when researching properties.
However, buyers should still consider a property’s condition, location, features and recent comparable sales before deciding how much to offer.
Property Due Diligence Is Still Essential
Although the new laws improve pricing transparency, they do not replace the need for proper legal checks before purchasing a property.
Before signing a contract, buyers should consider arranging a property contract review with a conveyancer. This involves reviewing the Contract of Sale and Section 32 Vendor Statement to identify potential legal issues, explain contractual obligations and help buyers understand what they’re agreeing to before committing to the purchase.
7. What Do the Changes Mean for Property Sellers?
For Victorian property sellers, the reforms introduce additional responsibilities around pricing transparency and the information provided during a sales campaign.
While real estate agents are responsible for complying with many of the new advertising and disclosure requirements, sellers will need to work closely with their agents when establishing a reserve price.
Setting a Reserve Price Before Auction
Sellers should discuss their pricing expectations with their agent well before the auction date.
Because the reserve must be disclosed at least seven days in advance, leaving the decision until the last minute may affect the planned auction or fixed-date sale.
Sellers should also understand that the published reserve becomes part of the property’s advertised pricing information.
Preparing for a Property Sale
Alongside the new pricing requirements, sellers still need to ensure that their legal documentation is properly prepared.
This includes the Contract of Sale and Section 32 Vendor Statement, which disclose important information about the property.
If you’re selling a property in Victoria , engaging a conveyancer early can help ensure the necessary legal documentation is prepared before the property goes on the market. This includes the Contract of Sale and Section 32 Vendor Statement, which disclose important information about the property to prospective buyers.
8. More Changes to Victorian Property Sales Laws Are Coming in 2027
Although the main property pricing reforms commenced in October 2026, further changes are scheduled to take effect in 2027.
Section 32 Statements Must Be Available Earlier
From 1 June 2027, new rules will require real estate agents to make Section 32 Vendor Statements available earlier in the sales process.
For auctions and fixed-date sales, the statement must be available at least 14 days before the scheduled sale.
For ordinary private sales, it must generally be available within 14 days after the property is advertised.
If a property is not advertised, or is to be sold within 14 days of advertising, the statement must be available before the purchaser signs the contract.
These changes are intended to give prospective buyers earlier access to important property information.
Changes to Early Deposit Releases
From 1 July 2027, the existing process for early release of property deposits will be replaced.
Instead, buyers and sellers will be able to agree to an early deposit release through a condition included in the Contract of Sale.
Real estate agents will also be prohibited from taking their commission directly from a deposit released before settlement or rescission of the contract.
Sellers may still choose to pay an agent’s commission before settlement or rescission.
Because deposit arrangements can have financial and legal consequences, buyers and sellers should seek conveyancing advice before agreeing to early release conditions.
Frequently Asked Questions About Victoria’s Property Sales Law Changes
When Did Victoria’s New Underquoting Laws Start?
The main property pricing changes commenced on 1 October 2026, with the new reserve price disclosure and Property Price Statement requirements applying to auctions and fixed-date sales held from 16 October 2026.
Further changes relating to Section 32 statements, deposit releases and other requirements are scheduled for 2027.
Do Real Estate Agents Have to Disclose Reserve Prices in Victoria?
Yes. For residential auctions and fixed-date sales covered by the new rules, real estate agents must publish the seller’s reserve price at least seven days before the scheduled sale.
This requirement does not apply in the same way to ordinary private sales without a fixed deadline.
Can a Property Sell Above Its Reserve Price?
Yes. The reserve price is not a cap on the selling price. If multiple buyers compete at auction, the final price may be higher than the disclosed reserve.
Can a Seller Change the Reserve Price Before Auction?
Yes, but changing a published reserve price triggers a new seven-day disclosure period. This may mean the auction or fixed-date sale needs to be rescheduled.
Is Underquoting Illegal in Victoria?
Yes. Underquoting is illegal in Victoria. Real estate agents must comply with existing pricing obligations as well as the additional disclosure requirements introduced in October 2026.
What Is the Difference Between a Property Price Statement and a Section 32?
A Property Price Statement provides information about a property’s pricing, features and comparable sales.
A Section 32 Vendor Statement is a legal disclosure document containing important information about the property, such as title matters, restrictions and other prescribed details.
Both serve different purposes, and buyers should review the relevant documents before purchasing a property.
Buying or Selling Property in Victoria? Haitch Conveyancing Can Help
Victoria’s property sales and underquoting law changes are designed to make property pricing more transparent, but buying or selling a home still involves important legal and financial obligations.
Whether you’re preparing to buy your first home, purchasing at auction or selling a property in Melbourne, having the right conveyancing support can help you understand the process and avoid unnecessary complications.
At Haitch Conveyancing Melbourne, we assist Victorian property buyers and sellers with contract reviews, Section 32 Vendor Statements and conveyancing services through to settlement.
If you’re planning your next property transaction, you can learn more about our conveyancing costs or contact Haitch Conveyancing to discuss your needs.
Information current as at October 2026. This article provides general information only and is not a substitute for advice about your individual circumstances.
