New laws threaten auctions: agents

Many Victorian real estate agents have reacted negatively to the proposed new auction laws aimed at stamping out unethical behaviour but the state government is standing firm on the restrictions to dummy bidding and underquoting prices to potential buyers.

Rodney Morley of agents TBM has sent a letter to hundreds of agents, calling for action and warning that agents' income will be dramatically affected in “a vendetta against agents”.

But the Victorian Consumer Affairs Minister, Christine Campbell, said while there may be “some hesitancy” in the early stages, the changes won't cripple the auction system. If people understand an auction is being done ethically it's more likely they'll bid and not hold back, she said.