Is Underquoting Back in the Market?

An auction at Winston Drive in Caulfield South last Saturday upset buyers advocate Morrell and Koren, with the property selling almost $200,000 higher than the advertised price of $580,000 plus.

Marketed by Gary Peer and Associates, the house was announced as hitting reserve when it reached $710,000. It eventually sold for $772,500.

The company has called for a review of recent underquoting legislation changes, in an attempt to quash the 'quote it low watch it go' philosophy it believes many agents subscribe to.

The responsible Gary Peer and Associates sales representative did not return Secret Agent's calls, and the property was swiftly removed from the agency's web-site.

Last year, the Australian Competition and Consumer Commission took Gary Peer and Associates to federal court after a property it initially advertised for '$600,000 plus' was passed in at auction for $781,000.