NSW Underquoting and Real Estate Agent Reforms 2026

NSW laws regulating real estate agents changed on 29 June 2026, with a further stage expected later in 2026. The reforms increase penalties, strengthen enforcement and introduce requirements intended to improve residential selling-price information.

Changes Already Operating

Maximum court-imposed penalties have increased for offences including unlicensed activity, dummy bidding and mishandling trust money. NSW Fair Trading also has broader disciplinary tools, including powers to require training, verify an estimated selling price or restrict agency activities.

Further Underquoting Measures

A later stage is expected after supporting regulations and forms are finalised. It is intended to require agents to consider prescribed comparable sales when setting or revising estimated selling prices and to retain supporting records.

Agents selling residential property will also be required to prepare a Statement of Information containing prescribed details, including comparable sales. A copy or link will need to appear in electronic advertising.

The commencement date for these later measures had not been announced when this article was prepared. Buyers, sellers and agents should check current NSW Fair Trading guidance rather than assume those provisions already apply.

What Sellers Should Do

• Ask how the selling-price estimate was calculated.
• Review comparable sales and explain material differences affecting the property.
• Read the agency agreement before signing.
• Keep written records of price discussions and revisions.
• Ensure advertising is updated when the reasonable estimate changes.

What Buyers Should Remember

An advertised guide is not a valuation or a promise that the property will sell within that range. Review comparable transactions, arrange finance with an appropriate buffer and obtain independent valuation advice where necessary.

Hills District Relevance

The reforms apply across NSW, including Norwest, Bella Vista, Castle Hill, Baulkham Hills, Kellyville and surrounding suburbs. In a changing market, the date and similarity of comparable sales can materially affect their usefulness.

Official Guidance

NSW Fair Trading maintains a current summary of the property and stock agents law changes.

How Russell Kelly & Associates Can Assist

Russell Kelly & Associates advises buyers and sellers on residential contracts, disclosure, title matters and conveyancing. Legal review is separate from assessing market value or an agent’s price estimate.

Read about our Property Law and Conveyancing services.

This article provides general information and is not legal, valuation or financial advice. Individual circumstances and current law must be considered. Information current as at 9 September 2026.