Victorian auctioneer, coach and industry commentator Andy Reid has criticised the state government’s proposed requirement for vendors to publish their reserve price seven days before auction, arguing the move risks creating a lopsided system that punishes owners while offering buyers no equivalent responsibility.
Mr Reid said the policy was presented publicly as if already settled, even though it has not been agreed and is only due to be tabled in Parliament in May.
The announcement blindsided the Real Estate Institute of Victoria, which has been working with government on a taskforce to improve auction practice.
“Everyone at the REIV thought they were working in step with government on this. They were about to release their findings, and then all of a sudden this comes out of nowhere. The timing wasn’t subtle. It was a popularity move, not something designed to support the people actually involved in a property transaction.”
He said he does not oppose better standards, but the proposed system places all responsibility on one side.
“It’s the imbalance that really gets me. Transparency can’t just be pushed onto existing owners because they happen to be the ones selling at the time. Buyers deserve clarity, yes, but owners deserve it as well. Right now this is one-sided.”
Why owners are being singled out
Mr Reid said the reforms continue a pattern he sees across recent Victorian housing policy.
“It’s the same thinking as we’ve seen in rental legislation. Everything lands on the owner. The buyer or the tenant doesn’t have to show their hand at any point, but the person who actually holds the biggest financial risk does. That’s not oversight; that’s targeting.”
He said he is regularly criticised when he raises the issue, but the reality is simple.
“People forget they’ll be sellers one day. Owners are being asked to give up leverage, certainty and privacy, but the buyer isn’t asked for anything in return. That’s not how a fair market works.”
Mr Reid added that genuine transparency should apply to every participant, not just the vendor.
“You can’t say the system is transparent when one group is expected to put everything out publicly and the other can change their mind every three minutes. I don’t blame buyers for doing what’s right for their family, but you can’t pretend that’s balanced.”
Victoria out of step with other states
If passed, Victoria would become the only Australian state requiring a reserve price to be published before auction day.
Mr Reid said transparency should come from process and protocol rather than forcing vendors into early disclosure.
“We’re the only state without bidder registration. Other states restrict vendor bids. We run more auctions than anywhere else, yet the mechanics here are the loosest.”
He said the one thing no-one can control is the final sale price, so attempts to legislate it can only distort expectations.
“The price is set by the market on the day. The focus should be on how campaigns are run, not dictating what figure owners must reveal a week out.”
He also said the government’s communications have contributed to widespread misunderstanding.
“The number of reels and posts saying new laws have been passed was unreal. They haven’t even been voted on … Government messaging hasn’t helped.”
Under the proposal, agents would need to publish the confirmed reserve seven days before auction or a fixed-date sale.
All marketing would need to be updated immediately, and previous versions removed.
Consumer Affairs Minister Nick Staikos said the aim is to reduce buyer frustration and keep price guides aligned with final reserves.
Victoria’s underquoting taskforce will continue monitoring campaigns, having issued more than 200 infringements totalling over $2.3 million.
What happens next
The REIV is expected to finalise its recommendations shortly and will raise concerns once Parliament considers the government’s framework in May.
Mr Reid said government now needs to demonstrate it is willing to listen.
“There’s been no regard for the whole consumer base. Owners matter too. I’m not asking for special treatment; I’m asking for equal footing. If we want a fair market, it has to apply to everyone.”
