Price tactic problem steals show

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A HOUSE ADVERTISED AT WELL BELOW RESERVE PRICE HAS SPARKED ANGER

The long-simmering issue of accuracy in price advertising was front and centre again yesterday after a controversial auction in the eastern suburbs in which a vendor demanded $350,000 more than the property had been advertised for.

The house, which was advertised at $1.3 million to $1.4 million, was subsequently found to have a reserve of $1.75 million — 25 per cent higher than the upper end of the quoted range. It passed in at $1,511,000.

The difference highlights a longrunning loophole in Victorian law that allows a vendor to set their reserve at any level they want on the day of an auction, regardless of what the property has been advertised for during the sales campaign.

Click here for the rest of the article (Source: Pressdisplay Website)

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