🎯 UNDERQUOTING: WHAT BUYERS NEED TO KNOW IN 2025

If you've been house hunting lately and felt like properties are selling way above their advertised prices — you're not imagining things. Welcome to the world of underquoting — a frustrating and misleading tactic that's still plaguing the Australian property market in 2025.

At The Buyers’ Ally, we believe in arming buyers with clarity and confidence. So, let’s break down what underquoting is, why it happens, what’s being done about it, and how you can protect yourself as a buyer.

❓ What is Underquoting?

Underquoting happens when a selling agent advertises a property for significantly less than what they actually expect it to sell for. It’s a way of drumming up interest — and it often works. Buyers turn up to inspections thinking a property is within budget, only to see it sell for hundreds of thousands more at auction.

In most states, it’s illegal to:

• Advertise a price lower than the agent’s estimated selling price

• List a price below what the seller has already rejected

• Use vague price guides like “offers over” or “$1” that mislead buyers

⚖️ What’s Being Done About It in 2025?

🟣 Victoria

Victoria has taken a hard stance, with a specialised Underquoting Taskforce issuing over $1.8 million in fines. New legislation was passed earlier this year to increase penalties — although those tougher fines won’t kick in until November 2025.

🔵 New South Wales

NSW agents are now required to complete a mandatory underquoting course by June 2025. There are also increasing calls to “name and shame” repeat offenders. Still, complaints keep coming in — over 100 in early 2024 alone.

🔴 South Australia

In SA, underquoting can land agents with a fine of up to $20,000 or 1 year in jail per offence. Yep — it’s serious.

🧠 Why Does It Still Happen?

It’s simple: competition. In a hot market, some agents underquote to create buzz, boost attendance, and drive up final sale prices. But while it benefits sellers (and agents), it wastes buyers’ time and money. And that’s where we come in.

👊 How The Buyers’ Ally Protects You

We’ve seen behind the curtain, and we know the game. Here’s how we help you stay one step ahead:

✅ Realistic Property ValuationsWe analyse comparable sales, not price guides, to assess a home’s true market value.

✅ Auction Strategy & BudgetingIf a home’s likely to go over your budget, we’ll tell you straight — and help you walk away confidently.

✅ Due Diligence SupportWe’ll contact agents, dissect sales evidence, and help you spot when something doesn’t add up.

✅ We Work For YouUnlike selling agents, we’re not trying to attract the highest bidder — we’re trying to get you the best result.

🏁 Final Word

Underquoting is still alive and kicking in 2025, but that doesn’t mean you need to be caught off guard. With the right guidance, you can navigate the property market with clarity and calm — not frustration and fatigue.

At The Buyers’ Ally, we’re here to make sure your next move is a smart one.

Looking for a clear-eyed expert in your corner?Let’s chat about how we can help you buy with confidence — no tricks, no surprises.

📩 Get in touch📱 Follow us on Instagram @thebuyersally