Search Results

If you have a choice, should you buy at auctions or private sales? Here's Our Investor’s Guide to Making the Right Property Purchase in Melbourne in 2026. Which is better? Auction or Private Sale? If you're familiar with the Melbourne property market, you've probably realised the 2 main forms of marketing a property is either via Auction or Private Sale (Private Treaty). And of course, plus their many other variations. But essentially, the processes revolves around either auction or private sale. So, assuming you are in a position to choose whether to buy at auctions or private sale, You'll be wondering if Auction or private sale—what’s the smarter way to buy? So, let's start by prefacing this. In a hypothetically perfect world, where you have a choice, Should you Choose to Buy at Auctions of at Private Sales? It’s a question every investor, upsizer, and first-home buyer must face. And it’s not just about preference. It’s about timing , psychology , and strategy . In the world of property investment in Melbourne, understanding how to approach both methods can be the difference between a savvy purchase—and a costly mistake. As any top Melbourne Buyers Advocate will tell you: there is no one "better" option. There’s only the better choice for you—and with that, you must have the right strategy to back it up . The Auction Advantage (and the Risk) Melbourne is known as Australia’s auction capital for a reason. In high-demand suburbs, auctions are the norm, especially for family homes, character properties, and in elite school zones. They create urgency. They play on emotion. And they’re built for competition. Why Auctions Work Auctions work, and many buyers advocates and buyers agents who love the transparency loves the auction process. Here's why: You see your competition and bid in real time. Properties often sell on the day—no drawn-out negotiations or due-diligence processes. Motivated sellers, especially if the home has been on the market for weeks. But here’s the risk: auctions are traps for the unprepared. The whole idea of an auction is for force buyers to: expose their budget, entice buyers via competition, to extend their budget, to overpay, make a quick, unconditional and certain sale, not allow buyers to back off their offers. Bidding emotionally, chasing the crowd, or misunderstanding the property's true market value will lead to overpaying—or walking away empty-handed. How do you Win at Auction? Auctions are not for the faint hearted and unprepared. Walking into an auction unprepared, or insufficiently prepared will certainly lead to regrets, which you might not be able to back away from. So, preparation is a must, and you can never over-prepare for auctions. We'll briefly discuss our auction full winning tips here. For a complete understanding of how auction works and how to win it, refer to our Complete Guide for Winning Auctions . Does Auctions Mean You Have to Pay More? From experience, this is not true. In our 10+ years experience, we have seen properties being sold at lower prices during auctions. Quick Auction Winning Tips: Know your limit before you walk in. Set it, write it down, and stick to it. Research recent comparable sales , not just the price guide. Bring an experienced Buyers Advocate to bid for you. Experienced buyers agents shields you from the emotions, and negotiation power in your corner if it passes in. Don’t be afraid to walk away . There will always be another deal—but not another bank account. The Power of Private Sale Private sales are less dramatic—but often more strategic. They’re quieter , more controlled , and built on negotiation , not competition to a certain extend. That’s why some of the best and new buyers agents in Melbourne favour private sales for their investor clients, for different reasons. Why Private Sales Make Sense Private Sales usually makes sense, but if you think there is less risks and easier to purchase at a private sale, you might be disappointed. Let's look at why private sales is good: More time to assess the property. Room for conditions: finance, building & pest, cooling-off period. Direct negotiations with the agent, not a crowd. How to Win at Private Sales? While Private Sales may give an "demure" impression, it is not as harmless as you thought. Sales agents have enough tricks and skills to make you overpay as well. And a seasoned agent can tell if you are new to the market, and how prepared you are. The best sales agent will always get to your last dollar. So, what are some Private Sale winning tips? A complete guide is available at our Private Sale Winning Guide . But here is a short summary of that article. Does Private Sales Means Prices Will Be Lower? Again, this is not true. Sales agents are trained to extract every single dollar from you. And to do that, it is not unusual that they play mind games. They always seem to have another mystery who is paying a bit more, and they will always give you an opportunity to better your offer. Buyers usually do not know if there is indeed another buyer who had offered more. Private Sale Winning Tips: Act fast but don’t rush . Good homes don’t sit for long. Ask smart questions . Smart Questions shows the agent you are prepared. Smart Question lets you understand how you should present your offer. There’s often leverage in the details. Make your offer clean and strong . Be ready with finance, assess the risks, keep terms simple, and offer with intent to buy. Get in early . A connected Melbourne Buyers Advocate can unlock pre-market or off-market opportunities that never hit the major portals. So... What Should You Choose? Auctions? or Private Sales? Here’s the truth: it’s not about auction vs. private sale—it’s about the property. Good properties in booming locations are often sold with the auction process. While in locations or properties with less demand, Private Sales are common. As a buyer who wants to be savvy in the Melbourne real estate, you will need to be comfortable with buying in an Auction, and buying in a Private Sale. Here's why. An Auction may turn into a private sale without warning, as demand is less than anticipated, or a Private Sale may turn into impromptu auctions with little to no warnings. Being prepared for both is the best way to manage the Auctions and Private Sales. If you’re serious about property investment or buying your home in Melbourne, you will need to approach your property buying with a clear plan, discipline and right market insight. The right professional backing will help you make your purchase with little to no dramas. How can Buyers Agents Help You in an Auction or Private Sale? This is where working with one of the best buyers agents in Melbourne changes the game. An experienced independent buyers advocate (or buyers agent) doesn’t just help you buy a property—they help you: ✅ Understand with Deep and Relevant market insight ✅ Identify true market value ✅ Prepare and Navigate both auctions and private sales ✅ Negotiate from a position of strength ✅ Avoid emotional decisions ✅ Mitigate Risks and Stay on track. ✅ Avoid Overpaying ✅ Secure better outcomes, faster In Auction, buyers agents would bid on your behalf, shielding you from the pressure and stress of open bidding. The buyers agent will help you manage the auctioneer, and crowd, while ensuring their buyer clients have sufficient time to process the bid and protect the secrecy of your budget. While in a Private Sale, buyers agents would have the right skills to negotiate and the market expertise to determine what the other buyers would be paying. Buyers Agents help you negotiate for the best possible price to buy the property, while, at the same time, prevents you from overpaying for the property. Final Word: Win Smart, Not Loud In property, you don’t win by yelling louder or spending more. You win by staying clear-headed, informed, and strategic . Whether it’s the high-pressure theatre of an auction or the quiet tension of a private negotiation, the Melbourne market rewards buyers who plan ahead—and those who don’t play alone. So ask yourself: Are you bidding based on emotion, or based on value? Are you negotiating blind, or with someone who knows the rules—and how to bend them? Are you reacting, or executing a strategy? Ready to Buy Smarter? Let’s Talk. If you’re planning your next move, don’t do it alone. We help buyers every day succeed where others stall. 📍 Property investment in Melbourne is about more than buying property—it’s about buying right. With the guidance of a trusted Melbourne Buyers Advocate, your next home or investment could be closer—and more achievable—than you think. 💬 Talk to one of Melbourne’s best buyers agents today. Let’s find your next opportunity—and make sure you buy it on your terms.

Winning a "Sell by Set Date" Sales As the Melbourne property market heats up, it is getting more challengine to find good deals in great locations. "Sell by Set Date" sales are getting less common in a hot market. But there still are properties being sold via this method, for one or more reasons. In 2026, this game has changed slightly, new tactics have emerged and we'll show you how to manage them, so you don't end up overpaying or get out bidded. As usual, such sell by Set Date campaigns are more common in areas where demand is low, or there are obvious issues with the property. Real estate sales agents often have less confidence getting a good price if buyer demand (or the lack of it) were exposed during an auction campaign. So, the game plan changes and they adopt a different sales tactic. Sell by Set Date is their favourite method of sale as this forces buyers into a blind bidding game. We tend to see less property auctions, and more properties being sold "Sale by Set Date", "Private Sale" or "Sale by Negotiation". If you have been following our blogs, you would be familiar with Auctions, and Best and Final Offer Sales and how to manage them. But do you know what a "Sell by Set Date" is? What does a "Sale by Set Date" mean? How do you manage a "Sale by Set Date"? What do you need to know when it is a "Sale by Set Date"? What does "Sell by Set Date" mean? "Sale by Set Date" is a property sales process where buyers have to submit their offers by a specific deadline. Psychologically, this creates an urgency to encourage maximum competition and a timely sale for the vendor. This method is a type of private auction or private sale method that combines characteristics of a tender and auction, offering multiple opportunities for buyers to make blind bids/offers and for the seller to achieve their best possible price within a set timeframe. The sales campaign will usually end on a certain date. Or does it? What happens if there are no offers by a certain date? We'll see what happens. This "Sell by Set Date" is very similar to Private Sale. As with private sales, some agents may called this sales method by any of these combinations: Sale by negotiation; or Expression of interest (EOI); or Sale by Set Date; or Sale by Set Date, Offers accepted prior; or Fixed Date Sale; or Set Date Sale; or A single price $x00,000; or A price range $x00,000-$y00,000; or simply Private Sale With this in mind, a "Sale by Set Date" campaign should be managed like a private sale or a sale by negotiation initially. There are little to no difference between these methods of selling. You will also need to be across methods to manage a closed auction process or " Best and Final Offer ", where interested parties submit their offers without knowing what others are offering, and usually within a short notice. If it sounds complicated, it is. It is one of the sales techniques in the agent's bag of tricks, aimed at creating panic and anxiety and to force buyers to think with their hearts and make irrational offers for the property. Why are "Sell by Set Date" Sales Method Used in 2026? "Sell by Set Date", just like "Private Sale" is often used in a quiet, or buyers market where the agent believe there aren't going to be a lot of interests or offers for the property. The agent would not risk listing the property for auction only to find that nobody is turning up to place a single bid. They risk the auction passing in, and creating a bad reputation for the property and agent. Sometimes, it simply means the sales agent do not have any good auctioneer to help auction the property. How do "Sell by Set Date" Sales Work in 2026? There are no standard process for this sales method, so there are no right or wrong ways to run the Sell by Set Date campaign. But this is what usually happens: Vendor and Agent decides to list a property for sale. They chose the "Sell by Set Date" method, and chose a fixed date where the property are supposed to be sold. Agent list and starts the advertisement and sales campaign. Agent make it known to all, that this property must be sold by a certain date. Agent may also tell everyone that offers are accepted prior to that date, to create a sense of urgency. When an offer is received, agent would usually let other interested parties know an offer has been received and they are to submit their "Best and Final Offer" by a certain date. This dateline (can be as short as 4 hours) by when all written offers must be submitted. Agent then presents all offers to the vendor. What happens next is where it gets interesting and can vary between campaigns, agents or vendors. This becomes essentially a "Best and Final Offer" (BAFO) or Closed Auction process. As with the BAFO, this is also where the whole "Sell by Set Date" process creates the most anxiety. The selection process may take one of the following paths: Vendor may simply select the highest offer and end the sales campaign Vendor may choose the best 2 to 3 offers if they are very similar, and start a closed negotiation process with the bidders Agent may choose to give the first bidder, a second chance, if their initial offer is not the highest Vendor may choose not to select any offers, if they believe none of the offers are good enough. The campaign will then continue to its planned public auction or end date. Problems with "Sell by Set Date" Sales At first glance, the Sell by Set Date process may seem docile. It may not seem urgent to an inexperienced buyer, as, afterall, it seems to imply that there is no urgency until that "Set Date". As with a typical property purchase, property auction, Best and Final Offers , this Sell by Set Date sales process should be treated with care. Just like the Best and Final Offer , this is crafted with intent - playing on the emotions of buyers. The fear of missing out (FOMO) will usually lead buyers to make hasty, heart-driven decisions, often leading to overpaying. Agents are fully aware of this psychological trigger, and inexperienced buyers always fall into this trap. This is where professional guidance from an experienced, professional buyers agents becomes invaluable. If you cant to avoid falling victim to these tactics, having the assistance of an experienced Buyers Advocates , can ensure you receive the appropriate advice for the property and avoid overpaying. Why the "Sell by Set Date" Method can Catch You Off Guard. False Sense of Calm: The process appear passive, unpressured, often misleading inexperienced buyers into thinking they have more time than they actually do. Sudden Urgency: Unprepared buyers are often caught off-guard when they are suddenly being told that an offer has been received, sparking panic and rushed decision-making. Lack of Transparency: The process is often unclear, lacks standards, managed in secrecy, leaving buyers in the dark about where they stand, compared to other interested parties. Poor Communications: Buyers are frequently left out of the loop, particularly if they have not made their interest known to the sales agent or if the agent had received an offer which they think is good enough. Not all buyers are informed: Not all interested buyers will not be informed of the process, if they had not made their interests known with the selling agent. Or if the agents believe they have sufficient interested buyers, they may stop informing other less promising buyers, due to time constraints. In short, the "Sell by Set Date" method may appear to be straightforward, but its lack of transparency and communication can create hidden stress and pressure, especially for those who aren't prepared. This is why partnering with a knowledgeable Buyers Advocate is crucial to navigating these complex sales methods and ensuring a fair and informed buying process. How do you Prepare for a "Sell by Set Date"? Preparing to win a "Sell by Set Date is similar to preparing for an Open or Public Auction. The tips given in our " How to win at Auctions " [ link ] will apply to the Sell by Set Date situation as well. Generally, to perform your best in the "Sell by Set Date" process, you need to: 1. Do your due diligence. Doing your due diligence is critical to preventing yourself from buying a property that doesn't suit you. Understand what you want from the property, why you want the property and your plans for the property. Knowing the real market situation will help you understand the market demand for that property type, in that particular street and in that particular pocket. Remember, every property is different, even if they are next to each other. 2. Know the real price of the property Most buyers wrongly trusted the price guide in the Statement Of Information (SOI) provided by the sales agent. While the purpose of the SOI aims to give buyers an indication of the price for the property, it usually does not mean the auction will end within the price range indicated in the guide. You should always do your own homework . If your research is very different from the price guide in the SOI, always feel free to ask why the agent thinks it should be so different. There could be a gold plated toilets hidden around the house. Or a few embedded gold bars in the bedroom. Or a subterranean termite infestation. Or a history of flood and/or water damage. More often than not, you are likely going to get a standard reply "that's based on sales data. We cannot predict how much buyers will be prepared to pay at the auction"... A good independent buyer's advocate who knows the area , location, street, buyer demand, supply situation, buyer demographics, property characteristics, will be able to confidently give you an idea of the auction price range. 3. Determine the right offer This is where you have to decide what price to offer for the property. No one can do this for you, but as part of our service, our buyer's agents would be able to work with you to guide you to Know how much you can afford to pay. Know your serviceability. Ensure you have sufficient funds for the initial deposit. Ensure you have the appropriate ways to pay the required deposit. Determine the absolute best price you are willing to pay for the property. A good test to know if you've set the right price is this: ask yourself "if the property is sold for $100 more to someone else, will you regret walking away". If you've been following this blog, you will know what happens next, gets murky. While the agent may indicate that you only have that "one chance to make the best and final offer", in Victoria, the agents or the vendors might choose to further negotiate or give everyone " one final chance to review your offer ". They may or may not give you a call explaining that you have " one final chance to improve your offer ". This usually causes buyers to panic and second guess their offer. You might decide to improve the offer, or if you believe you have already submitted your best-best-best offer, choose not to improve the offer. Now, always bear in mind, you do not know who the other bidders are , and what bids they have submitted. Your bid might already be the highest, and the vendor and selling agent might just want to try their luck to extract a few more dollars from you. There might not even be any other bidders, and you are bidding against yourself. Interesting but sneaky, eh? If you have done your preparations well, you should be able to confidently know what the likely scenario is. Our buyers agents would usually be able to advice based in their experience and insider intelligence on the property. Can an Agent Accept an Offer Before the Set Date? Yes, they can. And very often they do accept offers before the date even though it is listed as "Sell by Set Date". When an offer is received, they are legally required to inform all other interested buyers that an offer has been received and they are to submit their Best and Final Offer for consideration. For tips on how to manage a Best and Final offer, click here . Or some may call for an impromptu Boardroom Auction , as bidding will be more transparent to all buyers. Click here for tips on how to manage a boardroom auction. Does the Best Offer in a Sell by Set Date Offer Always Win? Usually yes. But not always . It depends on the motivations for this Sell by Set Date property. Remember, as mentioned in our Best and Final Offer tips, the vendor and/or agents may fake "an offer received" to gauge the level of interest. They may or may not have actually received any offers. Creating this fake offer creates a sense of urgency, forcing interested parties to expose their level of interests. If any interested person really submit their offer, perfect. The property is sold, if the price is reasonable and the offer is accepted. Otherwise, the property will continue to be listed for sale till the "Set Date". Now, assuming an offer is genuinely received. The process will almost always result in a sale. But it may not always be awarded to the buyer with the best offer. A Sale by Set Date process is treated like any other standard written offers. IE, you CAN submit a conditional offer , which includes typical conditions such as building and pest inspection clauses, finance clause, or any other clauses you need or can dream of. It is in the vendor's interest to consider all offers and their conditions when reviewing and selecting the offers. They are likely going to select the offer with the most suitable conditions, even if it is not the best in terms of price. Selling agents may not like it though, as it may mean they will receive a lower commission. For a small fee, our good buyers agent can help you help you confidently navigate this entire purchase process, from buying to keys collection. What is the Success Rate for "Sell by Set Date" Buys? Our success rate in this "Sell by Set Date" auction process is over 80%, and for the majority of our success, our offer isn't the highest priced. We do walk away when prices get insane. We could not speak for all other buyers agents though, as their experience varies and thus, their success rate. We do know, however, some buyers agents do aim for the highest offer price, to rush through a purchase to meet their own performance target. What is the Process to Make an Offer for a "Sell by Set Date" Property in Melbourne? So, you have been contacted by an agent, telling you they are holding a closed auction, and you have been invited to submit your best and final offer by X date and time. What do you do next? How to submit an offer for a Sell by Set Date Property? If you have been contacted and informed by the vendor agent that they are accepting offers for the property and you are supposed to make your "best and final offer", they should also inform you when the deadline is. You should always ensure you submit your best offer before this deadline. If the agent has not told you how or when they want to receive the offer, ask them. Make sure you know what the expected format it. Some may accept offers in an email. Some may have a formal offer form or an Expressions of Interest (EOI) form, that you have to fill in, sign and submit. Whatever it is, make sure the offer reaches the agent BEFORE the deadline. The agent is not supposed to accept any offers after the dateline. Not even if you are 1 minute late. Typically, your offer should include: Your name Your contact details Your best and final offer price for the property Any conditions you want to include Settlement date or period, usually 30, 60 or 90 days in Victoria. Some agents or EOI offer forms may ask for more information. Make sure you understand what is expected, and provide them if relevant. What happens after submitting your Offer for the "Sell By Set Date" property? Submitted your offer? Wait. And keep your fingers crossed. You'll find out what's next. If your Best and Final Offer is being considered, the agent will let you know the next steps. You might need to be prepared "review your offer" (aka "improve your offer"), or you might win it without any further dramas. If your offer is the winning offer, the agent will usually prepare the formal contract of sales for your signature, and you will need to pay the holding deposit. If your winning offer is a conditional offer, it's time to start ticking off the conditions. Know when these dateline are. Get those building and pest inspection organised, get that finance process started, or get any other due diligence processes done. And as they say, the rest is history. Generally speaking, if you have not heard from the agent within 4-6 business hours of the deadline (usually half a working day), your offer is 99% not being considered. If you have done your due diligence correctly, and you can truly put your hand on your heart and say you've genuinely submitted your best offer, you know you have done your best. The property is not meant to be yours. There is always a better one somewhere. But you will have to go through the same process and anxiety all over again. It could be months or even years before you find another one. And chances are, in a rising market, you will need to pay more for the same property or start looking in less desirable suburbs. If you have not heard from the agent after 4 hours, call them, ask for an update. If you get a vague reply, or an iffy reply, chances are, they have selected other offers. That's usually the bad news. But the good news is, because they have not outright rejected your offer. Your offer is their back up. If the other offers fall through, you might just win the closed auction or you might be called to "improve your Best and Final Offer". The fact is, in a hot market with lots of keen buyers, or if other buyers have the guidance of professionals such as a buyers agents, you are highly unlikely to win it. As a side note, vendor agents secretly prefer to work with buyers agents because experienced buyers agents only work with qualified leads, who are market ready, ready to buy, make realistic offers, and they can close the sale faster. If you have done the right due diligence, your Best and Final Offer should be your very best for this property. You should not have any "buyer's remorse" and you would not have regretted not offering an extra $500 more. Do not be that buyer. Get one of our professional buyers agents to manage your offer, if you are not confident. Can You Counter a "Sell by Set Date" Offer? Short answer is No. However, there might be ways around this, to achieve similar results. It all boils down to how the agent runs this Sell by Set Date campaign. Remember, as in the Best and Final Offer, in most (not all) situations, it is in the agent's and seller's best interest to allow interested buyers a second chance to review (and improve) their offers. So, when the agent gives you the opportunity, make good use of it. Remember, in this Sell by Set Date Process the agent usually will not disclose who and what the higher offer is. So, you do not have to make your decision on the spot. You can always request 10-15 mins to privately review and discuss your offer with your partner, mortgage broker or lender, before confirming or revising your final offer. It also does not mean that you have to improve your offer, if what you have offered is what you believe is the best, and you would not regret if the property were sold for $500 more. What happens if no offers are received by the "Set Date"? This is where things get interesting. Does the property get sold as a "fire sale"? Or is the property withdrawn from sale? There is no set rules on what happens next. It all depends on the vendor and why they are selling the property. But it usually takes one of these paths: The listing continues as a "Private Sale" The listing changes to "Offers above $x00,000" The property is taken off the open market, and sold as an "Off-market" property The property is possessed by the lender and treated as a mortgagee sale The property is taken off the open market, and the sales process ends Professional Buyers Advocates Can Help you buy in a Sell by Set Date Campaign We trust you have found the above common tips useful. There are also advanced, lesser known strategies that can help you win a "Sell by Set Date" campaign without paying the top price. However, these techniques are not suitable for all situations, and can be risky if applied inappropriately. If you are feeling anxious or uncertain with the preparations, or just want that confidence to win the Set Date Sale Campaign without paying top dollar, reach out to us. Our affordable property buying service ensures that you assess the property's true value, avoid overpaying, and negotiate effectively to buy your shortlisted property. With fees starting from a low $3500 for up to three properties it is a small investment compared to the potential savings. In fact, in a recent purchase, our buyers advocates saved a client a remarkable $500,000. Here's how we did it . Our Melbourne-based Buyer's Advocacy works exclusively for buyers, preventing buyers from overpaying and giving them the confidence to purchase successfully. Our Purchase Only service is especially popular with hands-on property buyers who want expert guidance without the stress of navigating the complexities on their own. Over 95% of our clients buy their property within 2 months. Ready to buy with confidence? Get in touch today to find out if our services are the right fit for you. Other References: How to determine market value of a property . How to win at property auctions in Melbourne . How can buyers advocates can help you beat the market . Get in touch with Melbourne Buyers Advocates .

Investing in property in Melbourne can feel like navigating a maze. With so many suburbs, each with their own market trends, and financial considerations, where do you even start? In this article, we will to walk you through the essentials with a friendly, no-nonsense approach. Whether you’re eyeing your first investment or adding to your portfolio, these Melbourne investment tips will help you make confident, informed choices. Melbourne Investment Tips: What You Need to Know First things first, let’s talk about location. Melbourne is a sprawling city with diverse neighbourhoods, each offering unique opportunities and challenges. From the bustling inner-city suburbs to the quieter outer suburbs, your choice of location will impact your rental yield, capital growth, and tenant demand. Here’s what we recommend investor Research growth corridors: Areas like Wyndham, Melton, and Craigieburn have been growing rapidly. These suburbs often offer more affordable entry points and strong potential for capital gains. They are, however, not for the best for investors expecting short term profits. Look for infrastructure projects: New transport links, schools, and shopping centres can boost property values. Keep an eye on government announcements. These are still not guarantee though. Consider lifestyle factors: Proximity to parks, cafes, and good schools attracts tenants and future buyers alike. Remember, a property in a great location but overpriced won’t deliver the returns you want. Balance is key. Melbourne suburb street view What is the 2% Rule for Property? You might have heard some experts mention the 2% rule in property investing. It’s a quick way to gauge whether a rental property will generate enough income to cover expenses and provide a decent return. Here’s the gist: The monthly rent should be at least 2% of the property’s purchase price. For example, if a property costs $500,000, the rent should be around $10,000 per month to meet the 2% rule. Sounds simple, right? Well, in Melbourne’s current market, hitting the 2% mark can be tough, especially in inner-city areas where property prices are high but rents don’t always keep pace. So, what’s the takeaway? Use the 2% rule as a guideline, not a strict rule. Focus on properties that offer a good balance of rental yield and capital growth potential. Sometimes, a slightly lower yield is acceptable if the property is in a high-growth area. Financing Your Melbourne Investment Property Getting your finances in order is crucial before you dive into the property market. Here’s what I always advise: Get pre-approval: Knowing your borrowing capacity helps you act fast when you find the right property. Understand your loan options: Fixed vs variable rates, interest-only loans, and principal-and-interest loans all have pros and cons. Factor in all costs: Stamp duty, legal fees, inspection costs, and ongoing expenses like council rates and maintenance. Consider your cash flow: Can you cover mortgage repayments during vacancy periods or unexpected repairs? A chat with a mortgage broker or financial advisor can save you headaches down the track. They’ll help tailor a loan structure that suits your investment goals. Calculating finances for property investment How to Choose the Right Property Type Melbourne offers a variety of property types - apartments, townhouses, detached houses, and even commercial spaces. Each has its own investment profile, and comes with their unique advantages and disadvantages. Apartments: Often more affordable upfront and easier to maintain. Great for first-time investors or those wanting to enter inner-city markets. But watch out for high body corporate fees and oversupply issues. Townhouses: A middle ground offering more space and often better capital growth than apartments. Watch out for body corporate fees too. Houses: Typically attract long-term tenants and families. They usually have better capital growth but come with higher purchase prices and maintenance costs. Before you jump in, ask yourself: What’s your investment horizon? Are you after steady rental income or long-term capital growth? Your answers will guide your choice. Why You Need Professional Help Navigating Melbourne’s property market is overwhelming. But this is where expert advice will come in handy. A buyers advocate or property consultant can: Help you find properties that match your criteria. Negotiate the best price and terms. Provide insights on market trends and suburb performance. Manage the buying process to reduce stress. If you want to make the most of your investment, consider tapping into professional expertise. It’s an investment in itself that can pay off handsomely. For tailored investment property advice Melbourne , you can rely on specialists who know the local market inside out. Keeping Your Investment on Track Once you’ve secured your property, the work doesn’t stop. Here are some tips to keep your investment performing well: Regularly review your rent: Ensure it stays competitive with the market. Maintain the property: A well-kept home attracts quality tenants and reduces vacancy. Stay informed: Keep up with changes in property laws, tax regulations, and market conditions. Plan for the long term: Property investment is a marathon, not a sprint. By staying proactive, you’ll protect your asset and maximise returns. Investing in Melbourne property is an exciting journey. With the right knowledge, a clear plan, and a bit of patience, you can build a portfolio that supports your financial goals. Remember, every great investment starts with smart decisions - and now, you’re well on your way. Happy investing!

Winning a "Best and Final Offer" A "best and final offer" (BAFO) is a term used in negotiations, in buying real estate, this is where all interested parties are asked to submit their absolute best and final offer by a certain deadline. This signifies the end of the campaign negotiations and is a crucial stage for buyers. If you are in the property market, the Best and Final Offer (BAFO) selling strategy along with Auctions are two of the popular ways to sell properties in the Melbourne property market. Most people are familiar with open auctions whereby all buyers gather at a set place and time, and openly bid for the property. But did you know the "Best and Final Offer" (BAFO) is a type of auction? Yes, the Best and Final Offer sales method is a different form of Auction. But what exactly is a "Best and Final" Offer? And what should you do to win this? What is a "Best and Final" Offer? The "Best and Final" Offer can also be known as a closed bidding or closed auction. In this method of auction, bidders are asked to make their formal offers, usually in writing, without knowing who the other bidders are and what their competitors' offers could be . Some real estate agents may also called it: expression of interest (EOI); or sealed bidding; or sealed bids; or silent auction; or closed bid auction; or simply closed auction You can also look at the Best and Final Offer as a tender process, where interested parties submit their offers without knowing what other buyers are offering, usually within a short notice. Sounds complicated? Yes it is, and it is one of the techniques aimed at creating panic and anxiety, thereby forcing buyers to think with their hearts and make irrational offers for the property. Why are "Best and Final" Offer Auctions used? During a typical sales agent's sales campaign, the agents need to gauge the level of interest in the property, and to get a feel of what potential buyers are prepared to pay for the property. Agents are usually good at finding out what buyers are prepared to offer. However, there could be times when buyers either have no idea or refuse to disclose any budget information. So, in order for the agents to get a good feel of the level of interest, one cheeky way is for the vendors and / or sales agents to call a 'Best and Final Offer auction', and bring forth a scheduled auction. Holding a BAFO auction is also a quick way to sell the house (if the price is acceptable) and/or to force buyers to disclose where their interests sit. But those are not the only reasons why a "Best and Final Offer" auction is used. Some other reasons for using the "Best and Final Offer" closed auction include: the agent has genuinely received an acceptable formal offer from a buyer there are many interested buyers who refuse to disclose where their interests are the agent and/or the vendor wants to gauge the market interest the agent and/or the vendor wants to shorten the campaign the agent and/or the vendor wants to bring forward an auction without officially cancelling it Is the Best and Final Offer Auction Fair? Some agents believe this is transparent, as the offers are not subject to any negotiations (in theory). In practice, the fear of missing out (FOMO) will force buyers to bid against themselves, stretching their own "best offer". Inexperienced buyers will usually try to squeeze in a few extra dollars to try to "outbid other buyers". Thus, this Best and Final Offer process is not always transparent , as we will see in the next section. How do Best and Final Offer Auctions work? There are no right or wrong ways to run this Best and Final Offer process. The sales agent is free to determine the exact process or change the process as and when they wish. In the Best and Final Offer Auction process, this is what usually happens: Vendor and Agent decides to call for a Best and Final Offer auction Agent informs all buyers who have indicated interests in the property Agent tells buyers they are accepting offers and interested buyers are to put in their "Best and Final offer" Agent gives buyers a dateline (can be as short as 4 hours) by when all written offers must be submitted Agent then presents all offers to the vendor. What happens next is where it gets interesting and can vary between campaigns, agents or vendors. The inconsistencies in processes and often poorly communicated instructions, is also where the Best and Final Offer process creates the most controversies, anxiety and angst. This is where the BAFO process is not as transparent and fair as the sales agents would want you to believe. The selection process may take one of the following paths: Vendor may simply select the highest offer and end the sales campaign Vendor may choose the best 2 to 3 offers, especially if they are very similar, and start another closed auction (or BAFO) process with the bidders Agent may choose to give the highest bidder, a second chance, if their initial offer is not considered good enough Vendor may choose not to select any offers, if they believe none of the offers are attractive. The campaign will then continue to its scheduled public auction or end date. Problems with Best and Final Offer Auctions As with a typical property purchase and property auction, Best and Final Offer auctions are usually very emotional and stressful. This is intentional, as emotions, anxiety and stress are what cause buyers to think with their heart, and the resulting fear of missing out (FOMO) will usually lead buyers to stretch their offer, usually ending up with overpaying. Agents know that. Inexperienced and unprepared buyers always fall into this trap. However, experienced buyers and professional buyers agents would usually have no problems managing this properly for their clients. If you can afford it, always consider seeking the assistance of an experienced Buyers Advocates, to ensure you receive the appropriate advice for the property. Best and Final Offer auctions are usually: very overwhelming for the inexperienced buyers, such as first home buyers or buyers who have not done sufficient research and due diligence lacking in transparency conducted with urgency conducted with poor levels of communications While this might seem OK, it is no longer considered a fair auction in 2026. Interested buyers can miss this auction, if the agents do not know they are interested. Or if the agents believe they have enough interested buyers, they may stop informing other less promising buyers, due to time constraints. How do you Prepare for a Best and Final Offer Auction? Treat your preparations for a Best and Final Offer Auction like a preparation for an Open or Public Auction. The tips given in our " How to win at Auctions " [ link ] can be used in this BAFO auction as well. Generally, to perform your best in the "Best and Final Offer", you need to: 1. Do your due diligence. Doing your due diligence is critical to preventing yourself from buying a property that doesn't suit you. Understand what you want from the property, why you want the property and your plans for the property. Knowing the real property market condition (not the one which sales agents want you to know) will help you understand the market demand for that property, in that particular area. Remember, every property is different, even if they are next to each other. 2. Know the real market price of the property Most buyers mistakenly trusted the price guide in the Statement Of Information (SOI) provided by the sales agent. While the idea of the price guide (SOI) is to give you an indication of the price of the property, it usually does not mean the auction will end within the price range indicated in the guide. This article will explain why Statement Of Information is best read with a pinch of salt. . You should always do your own homework . If your research is very different from the price guide in the SOI, always feel free to ask why the agent thinks it should be so different. There could be a gold plated toilet in the house. Or some 1kg gold bars embedded in the bedroom. Or maybe there are some termite infestation, or a history of flood and/or water damage. However, more often than not, you are likely going to get a standard sales agent reply "that's based on sales data. We cannot predict how much buyers will be prepared to pay at the auction"... A good independent buyer's advocate who knows the area , location, street, buyer demand, supply situation, buyer demographics, property characteristics, will be able to confidently give you an idea of the auction price range. At Concierge Buyers Advocates, we are confident our appraisal will give you the most accurate price guidance of the property value. Our property appraisal service comes with a price guarantee. If the sold price is more than 15% different from our appraised price, we will refund the cost of the appraisal. No questions asked. 3. Determine your offer This is where you have to decide what price you should offer for the property. No one can do this for you, but if you engage our buyer services, one of our buyer's agents would be able to work with you to help you: Assess the property value based on market demand. Engage the sales agent. Know your serviceability. Determine how much you should pay. Ensure you have sufficient funds for the initial deposit. Ensure you have the appropriate ways to pay the required deposit. Determine the absolute best price you should pay for the property. The Best and Final Offer Controversies If you've been following this article, you would have guessed, what happens next, gets murky and controversial. While the sales agent may indicate that you only have that "one chance to make the best and final offer", in Victoria, the agents or the vendors might choose to further negotiate or give everyone " one final chance to review your offer ". This means " one final chance to improve your offer ". This is intentional. The message you will receive is usually constructed to make you panic and second guess your offer. It almost always hint that "you are close enough but not good enough. Let me help you win this. You only need a bit more... ". You might decide to improve the offer, or if you've already submitted your best-best-best offer, and the property does not deserve more, choose not to improve the offer. Now, bear in mind, unlike a open auction, you do not know who the other bidders are, and the bids they had submitted. Your bid might already be the highest, and the vendor and selling agent might just want to try their luck to extract a few more dollars from you. There might not even be any other bidders, and you are bidding against yourself. Interesting, eh? If you have done your preparations well, you would know what the likely scenario is. Our buyers agents would usually be able to advice based in their experience and insider intelligence on the property location. Does the best offer in a Best and Final Offer Auction always win? Short answer: usually yes. But not always . It depends on the motivations for this Best and Final Offer auction. Remember, one of the reasons of holding this Best and Final Offer auction is for the vendor and/or agents to gauge the level of buyer interest. They may choose not to select any of the offers, and let the sales campaign run its course, and choose to proceed with the scheduled public auction. Usually, a genuine Best and Final Offer auction will almost always result in a sale. But unlike a public auction, it may not always be awarded to the buyer with the best offer. Can you submit a Conditional Best and Final Offer? A Best and Final Offer auction is treated like any other standard written offer, unlike a open auction. IE, you CAN submit a conditional offer , which includes typical conditions such as building and pest inspection clauses, finance clauses, or any other clauses you need or can dream of. And you should always submit a conditional offer if you're not confident, to protect your interest. It doesn't matter if the sales agent isn't pleased. You're within your rights and rules of the game to submit ANY offer, including a conditional offer. There's nothing worse than winning the auction, then discovering you do not have sufficient funds to pay, or if the house is termite-damaged. You'll be legally required to proceed with the purchase, if your unconditional offer is accepted, or you risk heavy penalties. It is in the vendor's own interests to consider all offers and conditions when reviewing and selecting the offers. They may select the offer with the most suitable conditions, even if it is not the highest price. In 2026, your conditional offer can include something as simple as "Subject to satisfactory due diligence". And you do not need to disclose what due diligence you are doing, to give yourself the most flexibility. We always to this. We always tailor our offer to the situation, our winning offers for properties are often conditional offers and often not the highest offer received by the agent. How to win a Best and Final Offer Auction in Australia in 2026? So, you have been contacted by the agent, telling you they are holding a closed auction, and you have been invited to submit your best and final offer by X date and time? Here is what you should do... How to submit an offer in a Best and Final Offer Auction? If you have been contacted and informed by the vendor agent that they are accepting offers for the property and you need to make your "best and final offer", they should also inform you when the deadline is. You should always ensure you submit your best offer before this deadline. If the agent has not told you how or when they want to receive the offer, ask them. Make sure you ask how should you submit the offer and when the deadline is. Some may accept offers in an email. Some may have a formal offer form or an Expressions of Interest (EOI) form, that you have to fill in, sign and submit. Whatever it is, make sure the offer reaches the agent BEFORE the deadline. The agent is not supposed to accept any offers after the dateline. Not even if you are 1 minute late. Best and Final Offer Response Template While there are no standard offer emails, format or template for the Best and Offer (BAFO) response, some agents might provide a paper form or email template. In any case, do not be surprised if there isn't standard format. If it is provided, use the selling agent's preferred template, but if not, your best and final offer response should include these critical information, as a minimal: Your name Your contact details Your best and final offer price for the property Any conditions you want to include Preferred settlement date or period, typically 60, 90 or 120 days in Victoria. Note: Some agents or Expression of Interest (EOI) forms may ask for more information. Make sure you understand what is expected, and only provide information relevant to the offer. In this day and age of data privacy concerns and breaches, you don't want to provide too much information, as you do not know when your data will be stolen or misused. That said, if you believe the requested information is / can be discriminatory, you do not have to include as well. What happens after submitting your Best and Final Offer? Submitted your offer? Now it's time to wait -- and keep your fingers crossed. You'll get the outcome in due course. What happens if your offer is accepted? If your Best and Final Offer is being considered, the agent will let you know the next steps. You might need to be prepared to "review your offer" (aka "improve your offer"), or you might win it without any further dramas. If your offer is the winning offer, the agent will usually prepare the formal contract of sales for your signature, and you will need to pay the holding deposit. If your winning offer is a conditional offer, it's time to start working through the conditions. Know when these datelines are. Get those building and pest inspection organised, get that finance process started, or get any other due diligence processes done. And as they say, the rest is history. But what if you do not hear back from the agent? Generally speaking, if you have not heard from the agent within 4-6 business hours of the deadline (usually half a working day), your offer is 99% not being considered. If you have done your due diligence correctly, and you can truly say you've genuinely submitted your best offer, you know you have done your best. The property is not meant to be yours. There is always a better one somewhere. But you will have to go through the same process and buyer's anxiety all over again. It could be months or even years before you find another one. Chances are, in a rising market, you will be paying more for the same property or start looking in less desirable suburbs, the longer you spend searching. Should you call the agent? If you have not heard from the agent after 4 hours, call and ask for an update. If you get a vague reply, or non-committal and iffy reply, chances are, they have selected another offers. That's usually the bad news. But the good news is, because they have not outright rejected your offer. Your offer is their back up offer. If the other offers fall through, you might just win the closed auction or you might be called to "improve your Best and Final Offer". The fact is, in a hot market with lots of keen buyers, or if other offers are represented by professionals such as buyers agents, you are highly unlikely to win it. We'll explain why. Why do Sales Agents seem to Prefer Buyers Advocates? As buyer representation gets more and more common in 2026, sales agents have admitted to secretly preferring to work with buyers agents because of the high quality, well-researched offers received from experienced buyers agents. Experience is important here. New buyers agents are almost as clueless as novice buyers, and sales agents can identify them easily. New buyers agents would be easy prey, and they are usually a waste of time. Sales agents, however, know clients from experienced buyers agents are well qualified, genuinely market ready, and fully committed to the purchase, which makes the process smoother for both sides. The only thing stopping the sale is the vendors' "yes". And thus, sales agents are usually more motivated to work with experienced buyers agents to close the deal. Thus, more often than not, a well represented offer from an experienced buyers agent do allow buyers to avoid paying the top price . No Buyer's Remorse If you have done the right due diligence, your Best and Final Offer should be your very best for this property. You should not have any "buyer's remorse" if you won the BAFO auction or if you don't, you would not have regretted not offering an extra $500. Get one of our professional buyers agents to manage your offer, if you are not confident. Do not be that buyer. Can You Counter a Best and Final Offer? Usually No. However, there might be ways around this, to achieve similar results. It all boils down to experience of the buyer's agent and how the sales agent runs this Best and Final Offer (BAFO) auction. Remember, in most (not all) situations, it is in the agent's and seller's best interest to allow interested buyers a second chance to review (and improve) their offers. So, when the agent gives you the opportunity, make good use of it. Remember, in the BAFO, the agent CANNOT disclose who and what the higher offer is. And, you do not have to make your decision on the spot. You can always request a few mins to privately discuss your offer with your partner, mortgage broker or lender, before confirming or revising your final offer. It also does not mean that you have to improve your offer, if what you have offered is what you believe is the best, and you would not regret if the property were sold for $500 more. Every agent, property, circumstances are different. Your experienced buyer agent will help you dissect the situation and explore ways of getting the property you want. What Is the Real Estate Industry's Secret to Winning the Best and Final Offer? The real secret to winning a best and final offer is the credibility of your offer. As you'll know by now, anyone can submit any offer for a property. It is the sales agent's job to vet the offers, and remove dodgy offers. Yes, contrary to what most believe, sales agents to ignore unqualified offers. Usually, your reputation in the industry and / or reputation with the agent is a major factor determining if your offer will be short-listed for considerations. The majority of buyers do not have a lot of track record buying properties, and thus, they lack the reputation and experience to manage the Best and Final Offer professionally. This inexperience is shown in the way your offer is put together and presented to the agent. How Can You Improve the Credibility of Your Offer? One of the most effective ways to improve the credibility of your offer is by engaging an experienced buyers advocate to assist with your purchase. Feedback from real estate sales agents in the industry suggests that having a professionally represented offer significantly enhances your chances of success. And from our experience, this seems true. Our professionally prepared winning offer is often not the higher offer on the table. Our successful offers are often between $10-30k below the highest offer. That is the value of professional representation. What do Buyers Advocates Charge for the Best and Final Offer Process? Buyer’s advocates like us, do not charge full fees for such services. With a small fee of $3k-$5k, you gain a credible, well-prepared offer backed by professional insight into the property’s value—potentially saving you much more in the long run. It might seem counterintuitive, but the facts speak for themselves. Take the guesswork out of the process, strengthen your offer, and improve your chances of securing the property of your dreams. Professional Help to Buy in Best and Final Offer Auction is Available If you're still uncertain with how the Best and Final Offer auction works, not confident with your preparations, or just want the confidence to buy the property, you might want to consider engaging our buyer's agent to: help you manage the whole process, deal with the agent/vendor and work out the best way forward with the offer. Our Melbourne based Buyer's Advocacy is here to help buyers navigate the Best and Final Offer Process and help prevent buyers from overpaying. Our Complete Buying Services and Purchase Only plan covers all purchasing scenarios, BAFO, negotiation, auction bidding service, etc. It is also popular with hands-on property buyers who are either unable or not confident at negotiating or bidding at property auctions. We help buyers prepare for purchase and buy their properties with confidence. And over 95% of our clients buy their properties in 2 months. Get in touch, find out if our services are right for you. Other References: How to determine market value of a property . How to win at property auctions in Melbourne . How can buyers advocates can help you beat the market . Get in touch with Melbourne Buyers Advocates . More home and investment property buying news and tips here . - updated Feb 2026 with latest strategy

If you’ve been keeping an eye on the property scene in Melbourne, you’ll know it’s a rollercoaster ride. Whether you’re hunting for your first home, scouting for an investment, or just curious about what’s happening, understanding the latest trends can make all the difference. So, let’s dive into the Melbourne property market trends and unpack what’s really going on. Understanding the Current Property Market Trends in Melbourne Melbourne’s property market is a fascinating beast. It’s influenced by everything from government policies to global economic shifts, and even local lifestyle changes. Right now, we’re seeing a mix of factors shaping the market: Interest rates : The Reserve Bank’s moves on interest rates have a direct impact on borrowing costs. Lower rates usually mean more buyers jumping in. Supply and demand : Melbourne has been grappling with housing supply shortages, especially in popular suburbs. Population growth : As Australia’s second-largest city, Melbourne attracts a steady stream of new residents, which keeps demand high. Lifestyle shifts : Post-pandemic, there’s been a noticeable trend towards homes with more space, both indoors and outdoors. These elements combine to create a dynamic market that’s both challenging and full of opportunity. Are House Prices in Melbourne Dropping? This is the million-dollar question, isn’t it? The short answer: it depends on where you look and what type of property you’re interested in. After a period of rapid growth, some areas have seen prices stabilise or even dip slightly. But don’t let that fool you into thinking the market is crashing. Here’s what’s happening: Inner-city apartments : Some price softening due to oversupply and changing buyer preferences. Detached houses in growth corridors : Prices remain strong, driven by families seeking space. Luxury market : Holding steady, with selective buyers looking for premium properties. If you’re wondering whether now is the right time to buy, consider your personal goals. Are you after a long-term home or a quick investment flip? Melbourne’s market is nuanced, so a tailored approach is key. What’s Driving Buyer Behaviour in Melbourne? Understanding buyer behaviour is like having a secret weapon. Right now, buyers are more cautious but also more informed. Here’s what’s influencing their decisions: Value for money : Buyers want properties that offer good potential for capital growth and rental yield. Location, location, location : Proximity to transport, schools, and amenities remains a top priority. Sustainability features : Energy efficiency and eco-friendly designs are increasingly attractive. Flexibility : Homes that can adapt to work-from-home setups or multi-generational living are in demand. For investors, this means looking beyond just the price tag. Think about the lifestyle and future-proofing your purchase. How to Navigate the Melbourne Property Market Successfully Navigating this market can feel like trying to find your way through a maze. But with the right strategy, you can come out ahead. Here are some tips: Do your homework : Research suburbs thoroughly. Look at recent sales, rental yields, and future development plans. Get pre-approved for finance : Knowing your budget upfront gives you a competitive edge. Work with experts : A buyers advocate can help you spot opportunities and negotiate the best deal. Be patient but decisive : Don’t rush, but when the right property comes along, be ready to act. Consider off-market properties : Sometimes the best deals aren’t listed publicly. Remember, buying property is a marathon, not a sprint. Staying informed and flexible will serve you well. What Does the Future Hold for Melbourne’s Property Market? Predicting the future is always a bit of a gamble, but we can make educated guesses based on current data and trends. Here’s what I’m keeping an eye on: Infrastructure projects : New transport links and urban renewal projects will boost certain suburbs. Population rebound : As international borders fully reopen, expect a surge in demand. Technology integration : Smart homes and digital platforms will change how we buy and live in properties. Government incentives : Keep an eye on grants and policies that could affect affordability. If you want a deeper dive, check out this melbourne property market analysis for a comprehensive overview. Making the Most of Melbourne’s Property Market So, what’s the takeaway? Melbourne’s property market is vibrant and full of potential, but it requires a savvy approach. Whether you’re buying your first home or expanding your investment portfolio, staying informed and working with trusted professionals can make all the difference. Here’s a quick checklist to keep you on track: Define your goals clearly. Understand the market trends in your target area. Secure your financing early. Don’t be afraid to ask for help. Keep an eye on future developments and policy changes. With these steps, you’ll be well on your way to making a smart, confident property purchase in Melbourne. If you’re ready to take the plunge or just want to chat about your options, remember that expert advice is just a call away. Happy house hunting!

The Real Estate Industry is full of industry jargons and words being used creatively by our friends in the real estate agents. In this blog, our buyers advocates will discuss the most commonly used terminologies, explain what they are, what they mean, and what what should you do, when you come across them. While we attempt to cover most of the commonly used real estate words and phrases, we might inadvertently leave out some. If there are any which you are unsure, do feel free to drop us a comment or text, and we will explain them. Now, let's jump straight into it. Real Estate Jargons - and what they mean Appraisal An appraisal on the property is an estimate of how much the home can sell for. This is similar but different from a Valuation of the property. This article explains the difference between an appraisal and a valuation in more details. Appreciation Appreciation is the amount a home increases in value over time. Some may call it growth. Assessed Value An assessment is used to determine how much taxes or council rates the owner of a property will pay. An assessor calculates the assessment of a home’s value by looking at comparable homes in your area and reviewing an inspection of the home in question. Auction Property is scheduled for auction. Auction is a process where interested parties gather and make offers for the property. This article will further explain what an auction is, what you should do, and how you can beat the auctioneer at the auctions . Auction - Offers Accepted Prior Property is scheduled for auction. There is a chance the real estate agents and owners may accept offers prior to the scheduled auction. Auction - Unless Sold Prior Property is scheduled for auction. There is a chance the real estate agents and owners may accept offers prior to the scheduled auction. Best and Final Offer (BAFO) A common variation of the Closed Auction, this closed auction requires buyers to make their best and final offer (BAFO) for a property they are interested in. Learn how this works, and how to beat crowd and emerge as the champion here . Boardroom Auction Similar to Auctions, but with a twist. This is usually conducted with little notice, and usually held at the real estate agent's office. This article will further explain what it is and how you should manage it. Closed Auction This may sound similar to an auction, but this auction is totally different from your regular auctions. With a closed auction, you do now know who the other bidders are, what their bids are, and you do not even know if there is another bidder. This article will further explain what it is, expose what your read estate agents do not want you to know, and also teach you how to manage yours and the agent's expectations. Conveyancing The process of legally transferring the ownership of property and money from one vendor to the buyer. This is usually done by a conveyancer or solicitor. Expression of Interest (EOI) A buying process where the interested buyer is required to indicate to the agent their interest. Learn how the process works, how to buy in the expression of interest process and how to beat all other buyers here . Exchange of Contract When all parties have accepted and signed the contract of sale. The contract may still be subject to certain conditions. Fear of Missing Out (FOMO) An anxiety that an exciting or interesting event may currently be happening, often aroused by posts seen on social media or from rumours and chinese whispers. Gentrification Gentrification is a shift in an urban community toward wealthier residents and businesses, with consequent increases in property values. It is a by-product of urban renewal. If it was previously a lower socioeconomic status, It may not necessarily mean the residents have better income. Most of the residents are probably still around, while the area is being modernised. One thing is for sure though, things are getting more expensive for them, and time will eventually drive them out into more affordable areas. House and Land Package Usually a 2 part contract consisting of a contract for the purchase of land, and a second contract to build a house on it. Lower Socioeconomic Areas A lower socioeconomic area refers to a geographic region or neighborhood characterized by a population with limited financial resources and reduced access to key social and economic opportunities. In these areas, residents typically experience lower average incomes, reduced educational attainment, and limited access to quality healthcare, housing, and essential services. These areas may also exhibit higher rates of unemployment, poverty, crime, and substandard living conditions. Modernised Modernised means renovated, updated to current trends. If a property is modernised prior to sale, chances are, it is just a cosmetic renovation. Mortgagee Sale A forced sale by the bank or lender. This is usually the lender/bank has exhausted all means of trying to recover late mortgage repayments from the owner. Mortgagee in Possession The owner has been late in their mortgage repayments and obligations and the bank/lender is now taking steps to repossess the property. Must Sell Means nothing more than the property is for sale. It is the real estate sales agents' way of catching attention, and potentially create an urgency. Treat this like a normal sale. If the agent can list take the effort and the owner can spend the few thousand dollars to advertise it, the property is for sale... isn't that obvious? Newly Refreshed Newly renovated. We'll be extra careful with newly renovated properties. If it was done as a reno-flip project, chances are, most are DIY jobs. Corners are likely cut, cheap parts are used, and some work might not have licenced trades to do the work when they have to, Off Market Properties In the strictest sense, it is a property that is not listed for sale, and the owners have no concrete plans to sell. Sellers usually approach buyers advocates and buyers agents directly, to prospect for a buyer. However, this term has been misused by real estate sales agents. Sales agents presenting "off-market" properties are misrepresenting these properties as off-market properties. When a seller sends a property to a sales agent, the intent is already clear. The vendor or seller wants to sell, and they have already formally engaged a sales agent (usually exclusively) for this sale. Not listing these properties openly suggest they do not wish public scrutiny and could suggest they have something to hide. This article will explain in more details . Offers Accepted Prior Real estate agents and owners are ready to accept offers, before the scheduled sale or auction date. On Contract When all conditions have expired and the offer to purchase is accepted by all parties. Passed in at Auctions When a property is passed in at auctions, it means the property was auctioned, but it could not find a buyer. This article will help explain what it means, and what you need to know and how to negotiate a property which had been passed in. Pre-loved Well used property. Expert to see some wear and tear. Property Investment Strategist In the strictest sense, it is some real estate investment specialist who specialises in understanding the investor's needs and goals before recommending the right type of strategy and properties for them. Unfortunately, this title has been misused by one and probably many other real estate project marketers to confuse buyers and investors. Most of these are unfortunately unlicenced real estate agents, thus they avoid calling themselves real estate agents. These fake strategists are no more than unlicenced real estate sales persons. All they are interested in, is to sell you what they have, not what you need. Buying your properties through these strategies often end up with the properties underperforming badly. Property Manager The real estate agent looking after the rental properties. Renovate or Detonate These are the cheapies. The ones where you can usually buy below market value. The property is unlikely to be in a liveable condition. Perfect fit for buyers who is prepared to do a major renovation or tear down and rebuild. Sell By Set Date A property sale process by which the property must be sold by a certain date. This article will explain what a Set Date Sale means, how you should manage this buying process and how you can buy the property you want, in this process. Our buyers advocates can you purchase the property you want, via the Sell by Set date process. Settlement Settlement is the process of formally transferring the ownership of a property from the seller to the buyer. This usually happen by paying the remaining purchase price and becoming the legal owner of a home. At settlement, your lender will disburse funds for your home loan and you'll receive the keys to your home. In Victoria, settlement usually takes place around 8 weeks after contracts are exchanged. TLC Tender Loving Care. See below. Tender Loving Care When it says need some tender loving care, expect to see a property that needs renovation. The scope of required renovation would depends on how creative or honest the real estate agent is, and what the buyer's expectations. We had seen some buildings with structural issues being listed as needing "TLC". Unconditional Contract A contract for the sale of a property that the vendor and purchaser have agreed upon that has no condition or the condition have been satisfied and confirmed and therefore is considered a sale. Valuation An assessment of the property value by a licenced assessor. Vendor Person who owns the property for sale.

Based in the Eastern Melbourne Suburb of Glen Waverley, we are actively helping buyers monitor and buy quality properties in the Eastern Melbourne Suburbs and South Eastern Melbourne Suburbs. The benefit of using a Local Buyers Agent (Buyers Advocate) Being local, we are in touch with what is going on in the local area. We know what the plans for the areas are, where the good areas are, where the major activities and major amenities are. You can be certain that the advice you receive from your local buyers agent will be as legit as the local neighbour. Why Should Buyers Use a Local Buyers Agent? Working with a local buyers agent is essential when purchasing property, especially in a competitive market like Melbourne. A local agent offers invaluable insights into the neighborhood, current market trends, and property values that you won’t find online. We have established relationships with local real estate agents, giving them access to off-market properties and opportunities that the general public may miss. A local buyers agent understands the nuances of each suburb, from school zones and transport links to future development plans, ensuring you make informed decisions tailored to your needs. Moreover, we are skilled negotiators, often securing better deals and protecting you from overpaying. By hiring a local buyers agent, you're not just gaining expertise; you're gaining a trusted advocate who works solely in your best interest. Our insider knowledge saves you time, money, and stress, helping you find the right property at the right price. What is the Most Important Benefit with using a local buyer's agent? Because we are local, our costs are lower. We do not have to spend unnecessary unproductive time travelling between locations. And we return this savings to our clients by having a special flat fee for buyers in our local area. Where can you find a flat fee Buyers Agent? If you are buying in one of these local Melbourne suburbs, you are automatically eligible for our flat fee special. One flat fee, no iffs, no buts. There is only 1 condition though. The residential property must be a under $1.8million. Which Suburbs Qualify for Our Local Area Flat Fee Buyer's Agent Services? Our flat fees special apply to: Monash 3147 - Ashwood Monash 3168 - Clayton Monash 3150 - Glen Waverley Monash 3166 - Hughesdale Monash 3166 - Huntingdale Monash 3149 - Mount Waverley Monash 3170 - Mulgrave Monash 3168 - Notting Hill Monash 3166 - Oakleigh Monash 3166 - Oakleigh East Monash 3150 - Wheelers Hill Whitehorse 3130 - Blackburn Whitehorse 3130 - Blackburn North Whitehorse 3130 - Blackburn South Whitehorse 3128 - Box Hill Whitehorse 3129 - Box Hill North Whitehorse 3128 - Box Hill South Whitehorse 3125 - Burwood Whitehorse 3151 - Burwood East Whitehorse 3131 - Forest Hill Whitehorse 3132 - Mitcham Whitehorse 3127 - Mont Albert Whitehorse 3129 - Mont Albert North Whitehorse 3131 - Nunawading Whitehorse 3127 - Surrey Hills Whitehorse 3133 - Vermont Whitehorse 3133 - Vermont South Knox 3153 - Bayswater Knox 3155 - Boronia Knox 3156 - Ferntree Gully Knox 3180 - Knoxfield Knox 3156 - Lysterfield Knox 3178 - Rowville Knox 3787 - Sassafras Knox 3179 - Scoresby Knox 3154 - The Basin Knox 3156 - Upper Ferntree Gully Knox 3152 - Wantirna Knox 3152 - Wantirna South Kingston 3195 - Aspendale Kingston 3195 - Aspendale Gardens Kingston 3196 - Bonbeach Kingston 3195 - Braeside Kingston 3197 - Carrum Kingston 3196 - Chelsea Kingston 3196 - Chelsea Heights Kingston 3192 - Cheltenham Kingston 3169 - Clarinda Kingston 3169 - Clayton South Kingston 3172 - Dingley Village Kingston 3196 - Edithvale Kingston 3202 - Heatherton Kingston 3190 - Highett Kingston 3194 - Mentone Kingston 3189 - Moorabbin Kingston 3195 - Mordialloc Kingston 3167 - Oakleigh South Kingston 3195 - Parkdale Kingston 3197 - Patterson Lakes Kingston 3195 - Waterways Casey 3177 - Doveton Casey 3802 - Endeavour Hills Casey 3803 - Hallam Casey 3805 - Narre Warren Casey 3804 - Narre Warren North Are there any extras not covered in the Flat Fee Buyer's Agent Services? This flat fee service is our complete end-to-end service. From search to negotiation, auction bidding, settlement and collection. As with our standard plans, it does not include other complementary services such as building and pest inspection, conveyancing, etc, which are outside our scope. We have trusted partners who are one of the best in their industries, and they usually provide preferential rates for our clients. If needed, we are more than happy to help organise one for you. What if you are buying outside our Flat Fee Service Zones? If you are buying just outside our flat fee service zones, give us a call. We are happy to discuss your needs and how we can assist. We might be able to extend our flat fee deal to you. We will look after you. What are Our Local Flat Fee Buyer's Agent Services? This flat fee service is our complete end-to-end service. From brief-to-keys. We handle the search to negotiation, auction bidding, right up to keys collections. For this comprehensive privilege, our 2026 flat fees are only $13,500+GST. Will our Buyers Advocates Fees change in 2026? Yes. Unfortunately, due to a massive 30+% increase in licencing, insurance and compliance fees coming into effect in 2026, our 2026 Buyers Advocates Fees are expected to increase. Ideally, we would want to freeze our fees, but our low margin is unable to absorb the 30+% increase in costs. Our directors are still debating the final fees, but, this should not stop you from getting in and enjoying the low 2025 fees! :) How do you qualify for our flat fee buyers agent service? It's easy. If you are buying in one of the above local flat fee suburbs, get in touch as soon as possible. Our Flat Fees are limited to a couple of customers each month, and it might not last forever. We will discuss and explore if our buyers agent service is right for you and if you can benefit from our buying services. If you do, you could be owning your property in under 2 months. Get in touch today.

Buying a home or an investment property is exciting, but it can also feel like navigating a maze. One of the trickiest parts? Understanding the property disclosure facts that sellers must reveal. These facts can make or break your decision, yet they often get overlooked or misunderstood. So, let’s break it down together, step by step, in a way that’s clear, practical, and yes, even a little fun. Why Property Disclosure Facts Matter More Than You Think Imagine you’ve found the perfect place. The location is spot on, the price is right, and the photos look amazing. But what if there’s a hidden issue lurking beneath the surface? Maybe the roof leaks, or there’s a history of flooding. These are the kinds of things sellers are legally required to disclose. Why? Because property disclosure facts protect you from nasty surprises after you’ve signed on the dotted line. When sellers share these facts honestly, it helps you make an informed choice. It’s like having a map before you start a journey. Without it, you might end up lost or stuck in a swamp of unexpected repairs and costs. Here’s the kicker: not all sellers are upfront, and not all buyers know what to ask. That’s why understanding these facts is your secret weapon. It’s about being savvy, prepared, and confident. A typical Melbourne home ready for sale What You Need to Know About Property Disclosure Facts So, what exactly falls under property disclosure facts ? The list can be long, but here are some key points every buyer should watch for: Structural issues: Cracks in walls, foundation problems, or termite damage. Water damage: Past flooding, leaks, or drainage problems. Pest infestations: Termites, rodents, or other critters that could cause damage. Legal issues: Boundary disputes, easements, or zoning restrictions. Environmental hazards: Asbestos, lead paint, or contaminated soil. Renovations and repairs: Whether they were done with permits and up to code. Knowing these details upfront can save you thousands in repairs and headaches later. Plus, it gives you leverage to negotiate a better price or request fixes before you buy. But here’s a question: how do you verify what the seller tells you? That’s where professional inspections come in. A thorough property inspection can uncover hidden problems that even the seller might not know about. Professional home inspection in progress What is the meaning of a material fact? Now, let’s zoom in on a term you’ll hear a lot: material fact . Simply put, a material fact is any information about a property that could influence a buyer’s decision. It’s not just about minor scratches or cosmetic issues. It’s about anything that affects the property’s value, safety, or desirability. For example, if a house has a history of flooding, that’s a material fact. If there’s a crack in the foundation, that’s a material fact. Even if the property is in a noisy area or near a planned development, those are material facts. Why does this matter? Because sellers are legally obligated to disclose all material facts. Failing to do so can lead to legal trouble and even the cancellation of the sale. To put it simply: if it matters to you as a buyer, it’s a material fact. And you have the right to know about it. How to Protect Yourself When Buying Property Okay, so you know what to look for and why it’s important. But how do you actually protect yourself during the buying process? Here are some practical tips: Ask for a full disclosure statement. This document should list all known material facts about the property. Get a professional inspection. Don’t skip this step. A qualified inspector can spot issues you might miss. Research the area. Check for local developments, flood zones, or other environmental risks. Consult a property expert. A buyers advocate or real estate lawyer can help you understand the fine print. Don’t rush. Take your time to review all information and ask questions. Remember, buying property is a big investment. It’s worth being thorough and cautious. If you want to dive deeper into what a material fact real estate inspection involves, there are great resources and experts ready to guide you. The Role of Buyers Advocates in Navigating Property Disclosures Here’s a little insider secret: you don’t have to go it alone. Buyers advocates are professionals who work exclusively for you, the buyer. They know the market, the legal requirements, and the common pitfalls. A buyers advocate can: Review disclosure statements with a fine-tooth comb. Recommend trusted inspectors and other experts. Negotiate on your behalf based on disclosed facts. Help you understand the impact of any material facts on your purchase. Think of them as your personal guide through the property jungle. They help you avoid traps and find the best deals, all while keeping your interests front and centre. Wrapping Up Your Property Journey with Confidence Buying a home or investment property is a huge step. It’s thrilling, nerve-wracking, and sometimes downright confusing. But understanding property disclosure facts and material facts can turn that confusion into clarity. By knowing what to ask, what to look for, and who to trust, you’re setting yourself up for success. You’ll avoid surprises, negotiate smarter, and ultimately, secure a property that’s right for you. So, next time you’re eyeing a property, remember: the truth is in the details. And those details? They’re your best friends. Happy house hunting! material fact real estate

The Victorian government recognises that underquoting seems rampant in the real estate industry, and one not disclosing the reserve price is seen as contributing to the feeling of the property being underquoted. So, they are intending to change this. There are plans to make the disclosure of reserve price compulsory. Will this effectively stop underquoting? Will the sales agents work with or will they work around this new rule? I can bet, there will be ways around it. And we have already identified at least 5 ways the sales agents can navigate around this new rule. Will Disclosing the Reserve Price End Underquoting?

If you’ve ever stood on a nature strip at a Melbourne auction wondering “ Why won’t they just tell us the reserve? This is a bloody joke. ” You’re not alone. From a buyer’s point of view, not disclosing the reserve price feels like a complete waste of time. From a seller’s and sales agent’s point of view, it’s the whole point of running an auction. From a buyer's agent's point of view, it doesn't really matter much. Their experience would have told them what the property is worth and the price range it will likely sell for. Experience in the market is important here. In this article, we’ll discuss: What the reserve price actually is Why it’s rarely disclosed before or during an auction The pros and cons of disclosing vs not disclosing the reserve How this affects buyers and sellers in Melbourne and across Australia Practical tips to protect yourself as a buyer What Is a Reserve Price at a Property Auction? The reserve price is the minimum price the vendor is willing to accept at auction. If bidding reaches or exceeds the reserve , the property is usually “on the market” and will usually be sold to the highest bidder. If bidding doesn’t reach the reserve , the property is typically “passed in” and negotiations happen afterwards with the highest bidder and other interested parties. Sometimes, the next higher bidder might also be asked to prepare for negotiations, in case the higher bidder could not reach an agreeable price. In Melbourne, Victoria and most of Australia, the reserve: Is set by the vendor , usually in consultation with the sales agent Is not required to be disclosed to buyers before or during the auction Can be adjusted on the day (and during the auction) , depending on buyer interest and bidding strength How Do You Know the Auction has Exceeded the Reserve Price? You’ll often hear the auctioneer say: “Ladies and gentlemen, we are now on the market.” That’s your only official clue that bidding has reached or surpassed the reserve price. Why the Reserve Price Is Usually Kept Secret So, if the seller will not sell below a certain price, what’s the logic behind keeping the reserve a secret? It is more tactical strategy, rather than a legal requirement. 1. Uncertainty Creates Competitive Tension If reserve price is disclosed , every buyer knew the reserve was exactly $1,400,000: Buyers capped at $1.3m wouldn’t even bother registering or turning up. Buyers willing to pay up to $1.45m might only bid just above $1.4m and hope no one else pushes them. By not disclosing the reserve , the agent is trying to: Keep more bidders in the game, “just in case” Get buyers emotionally engaged in the auction process Encourage stretched bidding once people are “in too deep” to easily walk away Uncertainty creates hope. Hope fuels a anticipation. Anticipation means extra bids. Extra bids fuel the final sale price. From a vendor’s perspective, that uncertainty is a feature, not a bug. 2. Flexibility to Move the Goalposts If the vendor publicly said: “Our reserve is $1.4m.” They’ve effectively set their price. But in real life, campaigns are messy: Sometimes buyer interest is stronger than expected – plenty of bidders, multiple contract requests, people throwing around big numbers. Sometimes interest is softer – budget limitations, weather factor, shoes-off factor, nervous buyers, negative building reports, or just a quieter market. By keeping the reserve secret, the vendor and sales agent can flexibly to maximise the sale: Increase the reserve on a hot campaign Reduce the reserve on a weak campaign Decide on the day whether to put the property “on the market” or pass it in and negotiate This flexibility can easily be worth tens of thousands of dollars to a vendor. 3. Undisclosed Reserve Price Favours the Seller In almost every auction campaign, the vendor and sales agent know far more than any buyer: All private offers received Buyer numbers at open homes How many contracts have gone out The vendor’s true “walk-away” number Other offers that may be conditional or off-market Most buyers only know: Their own budget The quoted range A handful of comparable sales (if they’ve even identified them correctly. Most don't.) By not disclosing the reserve, the seller preserves that information advantage. Once you, as a buyer, know the reserve: You can guess their expectations and read their intent You can make more calculated decisions (or walk away entirely) You have more leverage when negotiating after a pass-in Sellers and sales agents are not going to make it easier for you. They’re trying to keep the upper hand. 4. More Hopeful Buyers Means Better Outcomes for the Vendor In a typical auction campaign, a huge portion of buyers walk into auctions thinking: “ We’ll see how it goes. If it looks like it might be in our range, we’ll bid. ” If the reserve was clearly above their limit, those “maybes” would stay home. When the reserve is hidden: More people register to bid More bidders, at least in the early stages The auction has a larger audience, which: Encourages under-bidders to stretch Creates social proof that the property is “worth it” Intimidates more cautious buyers Even buyers who never stood a real chance at buying still serve a purpose. They push up the price for the vendor. Pros and Cons of Not Disclosing the Reserve Price Let’s look at it clearly from both sides. For Sellers: Benefits of NOT disclosing the reserve: ✅ Maximises competitive tension – buyers don’t know where the finish line is ✅ Keeps more buyers in the race – even those whose budgets are borderline ✅ Maintains flexibility – vendor can adjust the reserve based on interest ✅ Preserves information advantage – harder for buyers to game the process ✅ Often leads to higher final sale prices , especially in strong markets For Sellers: Cons of NOT disclosing the reserve: ⚠️ Some serious buyers may refuse to play the game and they do avoid auctions altogether ⚠️ Almost certainly create mistrust , especially if the quote range is obviously low compared to where the property actually sells ⚠️ Risk of a messy post-auction negotiation if buyers feel they were misled or “used” as price fodder For Buyers: Benefits of NOT Knowing the Reserve Price Honestly, for buyers, there are very few genuine benefits here, but there are a few: ✅ You might occasionally get a nervous vendor who lowers their reserve on the day if bidding is weak ✅ If you’re the only serious bidder and the property passes in to you, you can sometimes flip the table and negotiate hard after the auction. ie.. ✅ You can sometimes pick up a good deal at auctions, if the sales agents had not run it properly For Buyers: Cons of NOT Knowing the Reserve Price ❌ Wasted time and emotional energy turning up to auctions that were never realistically in your budget ❌ Harder to plan your max bid strategy when you don’t know whether you’re close or miles away ❌ Easy to overpay in the heat of the moment, especially if you’ve already mentally moved into the house ❌ Feels intimidated . The feeling that the whole process is stacked against buyers, which, frankly, it is. Fear forces your mind to work in survival mode, to want to win the auction . Pros and Cons of Disclosing the Reserve Price A few sales agents, usually in softer markets or with highly transparent agents, do disclose the reserve or at least a very tight “it will definitely sell above X” figure. Yes, despite the excuses some sales agent might say, in Victoria, the law does not ban an agent from disclosing the reserve price. So, what happens if reserves become more transparent? For Sellers: Pros of disclosing the reserve ✅ Builds trust and goodwill with buyers ✅ Attracts more serious and realistic bidders who know it’s within their budget ✅ Reduces the risk of buyers feeling misled or “underquoted” ✅ Can still sell very strongly if multiple buyers are genuinely at or above that level For Sellers: Cons of disclosing the reserve ❌ Fewer casual bidders on the day. You lose some competitive tension ❌ You remove the ability to quietly raise the reserve if the campaign is going better than expected ❌ You might create a glass ceiling on the price ❌ You lose leverage in post-auction negotiations. Buyers know exactly what you want. Overall, for most vendors, the cons outweigh the pros. That’s why genuine reserve disclosures are very rare. For Buyers: Pros of Knowing the Reserve Price ✅ You know upfront whether it’s worth attending or bidding ✅ Easier to plan a bidding strategy and set your walk-away number ✅ Less emotional manipulation. You’re not being used just to “get the bidding started” ✅ More transparency, less theatre For Buyers: Cons of Knowing the Reserve Price ❌ You may face stronger competition from other serious buyers who now know it’s within reach ❌ The vendor might set the reserve unreasonably high if they think the market will tolerate it. Afterall, they can still negotiate with the highest bidder if the property passed in. ❌ Less chance of “getting lucky” if a nervous vendor might have reduced their reserve quietly on the day Is Not Disclosing the Reserve Price a “Waste of Time”? Well, that depends on who you are in the property sale and purchase transaction. From a buyer’s perspective, yes – it often feels like: A waste of Saturdays A waste of emotional bandwidth A waste of money on those unnecessary Pre Auction Building and Pest Inspections and Contract Reviews . A process designed to extract maximum dollars with minimum transparency From a vendor’s and Sales Agent’s perspective, it’s simply: A strategic tool to maximise the final price A way to keep options open until the last possible moment A standard part of auction strategy, not a personal attack on buyers A quick way to sell properties, without the hassle of negotiations, etc. Properties sold at auctions are unconditional. The key is to be confident in real estate investing is to recognise and understand the game you’re playing, then decide how you want to respond. How Can Buyers Protect Themselves in an Auction, Without Knowing the Reserve Price? If you’re buying at auction in Melbourne (or anywhere in Australia), a few practical strategies help you fight back against the “mystery reserve” problem: 1. Ignore the Quoted Price Range. Do your Independent Homework. Treat the advertised range as marketing, not the truth. Learn the Top 9 Tips to Win Auctions . Look at recent comparable sales Adjust for renovations, location, etc. Build your own value range, then set your absolute walk-away number If the property sells way beyond that, it was never yours in the first place. The full process to manage auction is here . 2. Ask the Agent the Right Questions (and Read the Answers Properly) You won’t get the reserve, but you can read between the lines, you can still ask: “What level would definitely buy it prior?” “Has the vendor rejected anything so far?” “If it passes in, what price do they want to see to sell today?” Sales agents will not give you a clean number most of the time. It is their tactical advantage. But their reply, how they reply, often tell you a lot. 3. Decide Whether to Hid, and How If the property looks underquoted compared to reality: You can still attend and bid, but go in with good discipline. Walkaway when you have to. Avoid bidding just because “the crowd is moving” – that crowd isn’t paying your mortgage. If you’re close but not quite in range: Sometimes the smarter move is to let it pass in and see what happens in a private negotiation afterwards, particularly if bidding is weak. 4. Get a Professional in Your Corner Property buying is always stacked against the Buyer. The Seller is supported with: Listing agents Auctioneers Vendor’s advocates Lawyers and conveyancers While the only support on the buying side , is often only Google and nerves. Do you homework diligently or employ a good buyers advocate who will: Analyse true value, not agent spin Read the campaign strength and likely vendor expectations Provide live guidance/strategy during auction, whether to push, negotiate prior, or walk away Bid on your behalf, protecting your price and nerves, without getting emotional and revealing your limit Negotiate strongly with the sales agent if the property passes in. The Case for Getting Assistance from Buyers Advocates. And it is Not Expensive. In Australia and Melbourne, the property buying system is designed heavily in favour of the seller, having someone on your side who plays this game every week isn’t a luxury. It is a risk management necessity. The Buyers Advocates levels the playing field and moves the odds to your favour. If you find yourself struggling with property auctions in Melbourne, do get in touch. For a small fee, our Auction Bidding and Negotiation service is a cost effective way to stay focused, bid confidently at auctions, and protect your budget and lessen your stress during auctions. What Happens If the Law Forces Agents to Disclose the Reserve Price Before Auction? The Victorian government recognises that underquoting seems rampant in the real estate industry, and not disclosing the reserve price is seen as one of the contributing factors to the feeling of the property being underquoted. So, they are intending to change this. There are plans to make the disclosure of reserve price compulsory. Will this effectively stop underquoting? Will the sales agents work with or will they work around this new rule? I can bet, there will be ways around it. And we have already identified at least 5 ways the sales agents can navigate around this new rule. Read this article to find out if this will stop underquoting and how sales agents will work around this. Will the Property Sell When the Auction Price is Over the Reserve Price? Short answer: usually yes once a binding contract is formed – but the key is when that actually happens. And this is where most people (and plenty of agents) blur the line. This article will discuss the situation and when it may not sell, even if the auction price is above the reserve. It is rare, but I does happen. Is Disclosing the Auction Reserve Price a Fairer, More Balanced System? In theory, it can, but in practice, no. Very unlikely, unless the other parts of the campaign are locked down or banned, which is very unlikely. Sales agents' loyalty is to the seller. They find ways to extract the highest price for the vendor. That’s literally legally their job. And to the sales agents' credit, that is the job they will do well. You, as the buyer, your job is to understand the rules and various processes of the real estate game well, identify their weakness, then work with them. Final Thoughts: Should Reserves Be Disclosed? In an ideal world, yes. Reserve Prices would be clearer, property buyers would be more focused and would waste less time, and auctions would feel less like theatre and more like a transparent market process. In the real world, the auction system is currently (and will always be selectively optimised) to: Maximise outcomes for vendors Optimise leverage for selling agents Keep buyers just uncertain enough to turn up and bid Until the law or the industry culture changes, the REAL Reserve Price will remain a closely guarded secret, now and in future. As a buyer, your options are: Learn the game, do your homework diligently and play it strategically Or get someone who already knows how to play it on your side Either way, don’t mistake “no reserve disclosure” for “no control”. You can never control the reserve price, but you can absolutely control how you adapt your strategy and engage with the auction and property sales process. FAQ – Frequently Asked Questions Reserve Prices and Property Auctions 1. Is the reserve price the same as the quoted price range? No. The reserve price is the vendor’s minimum acceptable sale price. The quoted price range is a marketing tool used to attract buyers. The range may be loosely based on comparable sales, but it’s also influenced by the agent’s strategy and the vendor’s expectations. Never assume the top of the quote range is the real reserve. 2. Can the reserve price change before the auction? Yes. In most Australian states, the reserve can currently be changed at any time up until it’s formally set and the property is announced “on the market” during the auction. If buyer interest is strong, agents often encourage vendors to lift their reserve. If interest is weak, the reserve may be reduced to encourage a sale. 3. How do I know when bidding has reached the reserve price? Listen for the auctioneer saying something like: “Ladies and gentlemen, we’re now on the market and selling.” That statement means bidding has reached or passed the reserve and, barring anything unusual, the property will be sold to the highest bidder. If you don’t hear those words, the property may still be below reserve and could be passed in. 4. Why don’t agents just tell buyers the reserve price? Because keeping the reserve secret generally benefits the vendor: It maintains competitive tension. It keeps more bidders in the mix. It allows the vendor to shift expectations as the campaign evolves. It preserves information asymmetry, which gives the seller the upper hand. Transparency makes buyers’ lives easier. Auctions aren’t designed for that. 5. What should I do if I think a property is underquoted? Focus on your own valuation, not the quote. Check multiple comparable sales (same suburb, similar land size, condition, and location quality). Work out what you think is fair value and your absolute maximum. If the campaign looks obviously underquoted, assume competition will push the price closer to its true market value. If you’re consistently seeing properties sell way beyond where you expect, it may be time to reassess your budget or brief, or get professional help. 6. Would forcing agents to disclose the reserve price help buyers? It would help a bit – mainly by: Cutting down on auctions you attend with no real chance of buying Making it easier to plan your bidding strategy Reducing some of the guesswork and emotional manipulation But agents would adapt by: Pushing harder for pre-auction deals, Adjusting quote ranges and “expectations” earlier, and Using disclosed reserves as a floor, not a ceiling, to drive competition. So yes, it helps – but it doesn’t magically turn auctions into buyer-friendly events.