Victoria’s new reserve price rules face early workarounds from agents

Sellers must disclose reserve before auction, but pivot to expressions of interest campaigns may bypass requirement

By LineZotpaper

Published23 October 2026

Read Time2 min

Within days of Victoria requiring sellers to reveal their reserve prices at least one week before an auction, property agents have begun testing workarounds, including a pivot toward open-ended expressions of interest campaigns that allow the reserve to stay hidden. Market participants report a noticeable shift away from auctions to private sales as the new transparency laws take effect.

Victoria’s new transparency laws, introduced this week, require sellers to publish the reserve price, the lowest price they are willing to accept, at least seven days before an auction or fixed-date sale. The reforms also compel agents to provide prospective buyers with additional market context, including nearby comparable sales, and to publish sale prices after a transaction is completed. The changes aim to make property sales fairer and could serve as a test case for the rest of the country.

However, early signs suggest the rules may face resistance. According to market participants, some agents are shifting away from traditional auctions toward private sales, where a reserve price does not need to be made public. Others are moving to open-ended expressions of interest campaigns, which also exempt sellers from the disclosure requirement. The pivot threatens to undermine the transparency the reforms were designed to achieve.

The Victorian government has not yet commented on whether further measures will be taken to close the loopholes. The effectiveness of the laws will likely depend on how strictly the exemptions are regulated and whether buyers actually benefit from the additional information.

Analysis

Why This Matters

Victorian home buyers will now know the minimum price a seller will accept before an auction, potentially reducing wasted time and emotional bidding.
The early workarounds risk creating a two-tier market where transparent auctions are replaced by opaque private sales or expressions of interest campaigns.
Victoria’s approach could influence other Australian states considering similar property transparency reforms.

Background

Victoria has long faced criticism over lack of transparency in its property market, with buyers often bidding blind at auctions. The new laws were intended to level the playing field by forcing sellers to reveal their reserve. Historically, agents have opposed such disclosure, arguing it weakens their negotiating position. The shift to alternative sale methods reflects an ongoing tension between buyer protection and industry practice.

Key Perspectives

Buyers’ advocates: The reforms provide crucial information that helps buyers make informed decisions and avoid overpaying. They argue the workarounds defeat the purpose of the law. Real estate agents: Agents and some sellers view the disclosure requirement as a constraint that reduces their ability to achieve the highest price. The move to alternative sale methods is framed as a market response. Critics of the reforms: Skeptics point out that without mandatory enforcement, the rules may be easily circumvented, leaving buyers no better off than before.

What to Watch

Whether the Victorian government introduces additional rules to close the expressions of interest and private sale loopholes.
Take-up rate of auctions versus private sales in the coming months as a measure of compliance.
Potential court challenges or complaints from buyers who feel the transparency requirement has been evaded.

Sources

Victorians can now see a home’s reserve price before auction. What does this mean for buyers and sellers? · Australia news | The Guardian

Checked

12 claims in this story checked against 1 source: 7 supported.

Show each claim

SupportedVictoria’s new reserve-price rules are facing early workarounds from agents.Australia news | The Guardian: “Within days of Victoria requiring sellers to reveal their reserve prices before an auction, property agents started testing workarounds.”
SupportedSellers must disclose the reserve before an auction, while open-ended expressions of interest may avoid that requirement.Australia news | The Guardian: “Publish the reserve – the lowest price a seller is willing to accept – at least one week before an auction or fixed-date sale. (If the sale process is open-ended, a reserve doesn’t need to be made public.)”
SupportedAgents have begun testing workarounds, including a move to open-ended expressions of interest that keep reserves hidden.Australia news | The Guardian: “Within days of Victoria requiring sellers to reveal their reserve prices before an auction, property agents started testing workarounds. Market participants say there is already a pivot toward open-ended expressions of interest campaigns that allow sellers to keep their reserve price hidden.”
SupportedThere has been a noticeable shift away from auctions to private sales.Australia news | The Guardian: “There is also a noticeable shift away from auctions to private sales.”
Partly supportedMarket participants reported the shift away from auctions to private sales.Australia news | The Guardian: “Market participants say there is already a pivot toward open-ended expressions of interest campaigns that allow sellers to keep their reserve price hidden. There is also a noticeable shift away from auctions to private sales.”
Not in the sourcesThe laws were introduced this week.
SupportedThe rules require sellers to publish the reserve at least seven days before an auction or fixed-date sale.Australia news | The Guardian: “Publish the reserve – the lowest price a seller is willing to accept – at least one week before an auction or fixed-date sale.”
Partly supportedThe reforms compel agents to provide prospective buyers with additional market context, including nearby comparable sales.Australia news | The Guardian: “Provide prospective buyers with additional market context, including nearby comparable sales.”
SupportedThe reforms require sale prices to be published after a transaction is completed.Australia news | The Guardian: “Publish property sale prices after a transaction is completed.”
SupportedThe changes aim to make property sales fairer and could be a test case for the rest of the country.Australia news | The Guardian: “State’s new transparency laws aim to make property sales fairer in what could be a test case for the rest of the country”
Not in the sourcesThe pivot threatens to undermine the transparency the reforms were designed to achieve.
Not in the sourcesThe Victorian government has not commented on whether further measures will be taken to close the loopholes.