Hello and welcome to real estate news …
In case you haven’t heard legislation has been passed in Victoria on how real estate agents market residential real estate.
If you are a vendor of a residential property this will affect how your property will be marketed.
From May 1 2017 all estate agents selling residential properties in Victoria will have new obligations relating to:
Understanding the under quoting laws.
Estimated selling Range
The estimated selling price must be:
It must also
If the estimated selling price changes because it ceases to be reasonable ( for example if a comparable property sells at a higher price) an agent must:
A comparable sale is a previously sold property that is of similar standard, condition and location to the property for sale.
When selecting comparable properties, agents must take into account the:
If the property for sale is in the Melbourne metropolitan area, the comparable property must be within two kilometers and have been sold with the last 6 months.
If the property for sale is outside the Melbourne metropolitan area, the comparable property must be within 5 kilometers and have been sold within the last 18 months.
Statement of Information
The statement of information is an approved document that estate agents must prepare for each residential property they offer for sale.
The statement of information must be:
It must include:
When marketing a property for sale agents must not use words or symbols to qualify the price or price range, such as “offers above” from, or plus.
A property cannot be advertised at a price that is less than:
The price maybe advertised as a single price or a price range of no more than ten percent.
If the estimated selling price changes or the seller rejects a higher written offer, agents must update the price or price range on:
For more information, you can visit the consumer affairs web site: consumer.vic.gov.au/under quoting.
Feel free to contact me with any questions…hope this information has been of some use to you.