Underquoting and the Statement of Information in Victoria: A Buyer's Decoder

Underquoting is advertising a property below what the vendor will accept, or below the agent's own estimate. In Victoria it is illegal, and agents selling residential property must provide a Statement of Information. Knowing how to read it saves wasted inspections, building reports and auction mornings. ## What the Statement of Information must include Consumer Affairs Victoria sets the form. It must show: - An indicative selling price: a single figure, or a range where the top is no more than 10% above the bottom. - The suburb median price and the period it covers. - Three comparable sales from the last six months within two kilometres in metro Melbourne (five kilometres in regional areas), or a statement explaining why there are fewer. The price must not be lower than the agent's estimate, the vendor's asking price, or a written offer the vendor has rejected. Check the current rules on the [Consumer Affairs Victoria](https://www.consumer.vic.gov.au/housing/buying-and-selling-property/buying-property/underquoting) website. ## Warning signs - The comparable sales are older, smaller, or in weaker streets than the home you are looking at. - The guide has not moved even though similar homes nearby sold well above it. - Strong opening bids at auction land above the top of the range within seconds. - The agent talks about "buyer feedback" instead of giving a clear number. ## Check the guide yourself 1. Pull recent sales of genuinely similar homes nearby. 2. Adjust for land size, condition, parking and position. 3. Compare your figure with the top of the quoted range. 4. Use the BuyerHQ [price guide check](/tools/price-guide-check) for a quick reality test, and the [suburb scorecard](/tools/suburb-scorecard) for official median context. If your evidence sits well above the range, budget for that number, not the advertised one. ## Off-market and pre-market homes Private sales still need honest pricing. Ask for the Statement of Information and the Section 32 before you inspect. Read more in the [Section 32 guide](/blog/section-32-vendor-disclosure-traps) or browse [off-market properties for sale in Melbourne](/off-market-property-melbourne).