November 22, 2025 • 15 mins
00:46 – The pros and cons of the New Auction Laws in VIC and NSW
11:20 – Where did this recent influx of stock come from?
13:10 – Black Belt 2026 and Real Estate Gym Kick Start is on 10 Feb 26
My Clearance Rate: 7/12 SOLD
Mark as Played
Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
SPEAKER_00 (00:00):
I reckon one thing they need to do is create a law
that buyers that walk intoproperties at open for
inspections on Saturdays orauction day, there's no need to
open up the fridge.
Like, what doesn't matter whatthe people that live in the
property have in their fridge?
How will it affect what you do?
(00:22):
Why open up someone's fridge?
How will it affect the pricethat you're prepared to pay?
Like, whether they have soy milkor full fat milk, whether
they've got booze in the fridgeor not.
Why does it matter?
I get really, I told the buyertoday, like, I said, why do you
care what's inside that fridge?
(00:43):
Why do you care?
And he just stared at me and hewent, ha ha, and just walked
away.
When they're making the new lawsin Victoria and in Sydney
regarding auctions, they mightat the same time say to people,
don't open up fridges.
But let's talk about that for aquick moment.
(01:03):
Let's talk about that becauseI've been traveling a lot.
Yesterday I had to do a charityauction uh in Adelaide that had
no reserve.
And I have to tell you, it was avery emotional auction because
the person that donated the landwas someone that had lost a
three-year-old child, and hefelt he had to do it.
(01:27):
He wanted to donate this tocharity, and the charity was
called Variety because they area children's charity.
What an incredible fella.
Incredible.
I really had tears in my eyeswhen he told me the story
because I asked him, what's yourconnection to the charity?
And the way he sort of said itabout losing his three-year-old.
(01:48):
Anyway, and by the way, whilstwe're talking about those
stories, another sad story, I'minvolved with Wingman as an
ambassador, and they are asponsor of a charity called
Destiny Rescue, and they go out,Destiny Rescue, mainly in
Southeast Asia, stoppingpedophiles, right?
And I had a dreadful, very,very, very sad text message
that's come in.
(02:08):
I'm gonna actually put it upbecause I want prayers.
A 12-year-old got molested andhas now got AIDS.
This happened last week.
Devastating news, devastatingnews.
A team, the underquoting laws.
So in Victoria.
During the week, there's aproposal, and let's I want
everyone just to calm downbecause I've got all these real
(02:30):
estate agents saying to me, Tom,what are we gonna do this week
when buyers say, what's thereserve?
What's the reserve?
Let's be very, very clear.
The legislation in Victoria andNew South Wales is proposed
legislation that's got to gothrough a process.
So, right as we speak, youoperate with your current
(02:51):
legislation, right?
That's the first thing.
The second thing is, let me tellyou, the proposal to have a
reserve price made availableseven days before an auction has
got some advantages.
And the advantages are if abuyer uh hasn't done a pest and
(03:13):
building inspection prior to theseven days, they can wait till
the seven days to then decide.
To then decide what it basicallymeans is that you're gonna have
a week, you're gonna have oneweek to move really, really
quickly, really, really quickly.
The street, John, that thatproperty sold in Strathfield,
(03:34):
let me give it to you, is AuburnRoad, number 49, Auburn Road,
number 49 Auburn Road.
Now I want to let you know,ladies and gentlemen, that the
positive of having the reservemade available prior is that
it's going to save peoplebidding on properties that they
(03:57):
had no chance.
Let me tell you what the consare.
The cons are that you're forcinga buyer to quickly try and get
done things done in the lastweek.
Number one.
Number two, and this is the bigone.
Listen to me carefully.
(04:18):
I auction, I don't know, closeto a thousand properties a year,
every year, and I've done so formany years.
Auction is actually a very smallpart of my life.
A lot of people ask me, youknow, is that all you do?
Auction is five percent of mylife.
95% of my life is running mydigital subscription business,
(04:40):
running my conferences, and I'mpretty much out of Sydney pretty
much Tuesday, Wednesday,Thursday every week.
I'm away from home over 200nights a year, and I have been
for decades, and that is Mondayto Friday work, conferences.
But I've got to let you know,I've done a lot of options, and
I've got to tell you I sit andtalk to an owner at two o'clock,
(05:04):
and I ask him, What's yourreserve?
And they give me a reserve oftwo million, and then I say to
them, Have you got anyflexibility?
If you don't get two million,will you negotiate?
They often say, No, we want twomillion.
Let me tell you, five minuteslater, the property gets sold
(05:25):
for 1850.
This happens all the time.
You need to understand thatvendors often do not put their
numbers on the table becausethey want a little bit of wiggle
room.
Often there is no trust there,right?
So what they're saying is, I'llkeep a higher number and that
(05:48):
way I can come down.
Herein lies the biggest issue,right?
The fact that a vendor generallyis adjusting reserve not just
the last week, but the lastminute.
The first thing.
(06:08):
The second thing, I want to letyou know that if you look at the
contractual relationship in realestate between agent and
principal, the vendor pays areal estate agent a fee to sell
the property at the highestpossible price.
(06:29):
Now, if you turn around and say,even if situation number two,
where I'm saying they adjust thereserve isn't an issue, you got
another big issue.
And let me tell you what thatother big issue is that what
buyer is gonna want to bebidding a lot more than the
(06:55):
reserve, and they're gonna knowthe reserve.
Think about that.
Buyers don't want to feel likeI'm paying so much over the
reserve, which in turn meansthat that legislation, if it
went through, could potentiallydisadvantage vendors, and that's
(07:16):
what I believe the Real EstateInstitute of Victoria is making
noises about, right?
So 100% we need a solution.
We need a solution that can workpractically now.
(07:43):
But a friend of mine bought aproperty in the low twos the
other week.
The property went to auction,and you know what happened with
that property?
It wasn't underquoted, it wasoverquoted.
It was overquoted, and whathappened is because it was
overquoted, there was noexcitement with buyers and no
(08:05):
buyers showed up.
So then what actually happenedis my friend went, and he's very
opportunistic, always lookingfor a good buy.
He went there two days later,and he bought the property for
around 300 grand less than theprice that was being quoted.
And I've got to say to you,because there was no other
(08:27):
buyers, he bought it well, andhe was prepared to go
significantly more, and it's abloody good buy.
It's a very good buy, right?
So the point I'm saying is thatI've got to tell you,
underquoting is one part thatneeds to get fixed.
Overquoting can be very, verydetrimental to getting a result
(08:54):
for a vendor.
And this vendor's probably losta few hundred thousand dollars
that they could have got in themarketplace.
So, team, all I'm gonna say toyou is work needs to be done as
far as I'm concerned.
The drawing board's gonna needto go back to and fro, and
(09:16):
they're gonna need to get anindustry-led consultation
because no plan survivescollision with reality, and
that's a fact of life.
And I have to tell you that realestate agents live in a world
where nearly on all occasions,when they list a property, the
(09:36):
owner is wanting more than it'sworth, and a real estate agent
needs to be able to go throughthe process to help work out
roughly what it's worth, and inthat process, that vendor gets
educated.
That's called vendor education.
And the one of the things thatmakes it so complicated is
there's no recommended retailprice in real estate, and that's
(09:57):
what makes this so hard.
But I've got to tell you to allthe real estate agents that have
rung me getting nervous aboutthings, there's nothing to get
nervous about if you do theright thing.
And I had a real estate agentsaying today that wanted to go
that high is that I was paranoidthat I would be done for
underquoting.
I mean, think about that, havinga real estate agent hoping that
(10:21):
the property doesn't sell for ahigh price in case they get into
trouble.
I've got to tell you this andlisten to me very carefully.
Listen to me very carefully.
Real estate agents, don't worryif you're doing the right thing.
You've got nothing to worryabout if the occasional result
(10:43):
goes for overs.
What they're looking for issystemic behavior.
Number one, understand that.
Number two, make sure you aredoing the right thing, because
I've got to tell you, you can'tescape.
As I said in an earlier videothat I did last week, you gotta
act and behave that everythingthat you're doing is being seen.
(11:06):
And the reason I say that isthat with AI and technology now,
they can easily have a look atwhat you put a property in at
the back end, what it sells for,and then ask for the file.
So, team, be very mindful of it.
I have to say that the uh fearof missing out that existed in
(11:26):
October appears to havesubsided.
The craziness has sort of gone,and I think a lot of it has to
do with the fact that after theinflation numbers came out at
the end of October, and then allof a sudden the whole mood and
the sentiment about auctions,sorry, about um talked about
auction.
I'll talk about auctions in amoment because that's got to be
(11:47):
the most talked-about realestate topic this week across
Sydney and Melbourne, is thenthey announced that rates
wouldn't be going down, and thatsort of changed the mood.
And then the view was not onlyis it not going to go down in um
November, Melbourne Cup Day,that was a scheduled meeting,
but it's not gonna go down alsoearly in the new year.
(12:10):
And that all of a sudden did twothings.
It actually got buyers toactually stop getting carried
away with fear of missing out,but it also brought in a lot of
stock.
There was not a lot of listingscoming towards this end of this
year, and I was talking to allthe auctioneers, and then all of
(12:30):
a sudden, an onslaught of stockhit the market.
And when you've got a coolingsentiment and you've got more
listings, that basically meansthat you get a more softening of
prices.
However, you still havesubmarkets, and without a doubt,
like if I to give you a summary,under one and a half is still
(12:53):
pretty good.
One and a half to two and a halfto three, four mil, that price
point there is not great.
Over five million is prettygood.
So that's roughly a bit of asummary of what actually
happened.
Now.
Now the last thing I want to letyou know, I'm just so over the
moon to all the real estateagents there.
(13:15):
We launched Black Belt.
It's a transformational realestate coaching program for real
estate agents in Australia andNew Zealand, and within five
days of launching it, we've gotan oversubscription of people
that have applied.
And what I'm going is now goingto be speaking to each of those
(13:36):
people to work out who's goingto be accepted in the program.
So I'm letting you know, ladiesand gentlemen, Black Belt and
Susan has put the link in thereas well.
That's the first thing.
Black Belt, we're going to bemeeting every quarter.
Monthly accountability, numbersare coming in.
(13:56):
We're going to help real estateagents be their best version of
themselves in 2026.
And I've also got to let youknow the real estate gym is
having a major event on Februarythe 10th.
We've got some of the great realestate agents across Australia
that are going to be speaking.
We've got Sam McLean, who Ibelieve is one of the best AI
(14:18):
thought leaders in the business,she'll be speaking.
We've got Dip Chittiak.
I don't know what he writes, butit's way over 5 million and
somewhere under 10 million.
He's going to be, we've got anemerging panel of agents that
are doing more than a hundreddeals a year under 30 years of
age.
Under 30 years of age.
Four of them.
They're going to be on thepanel.
(14:40):
We got John McGrath, and that isfor my real estate gym members,
and it is only$39.
We want you to start off youryear very strong.
It is the Real Estate GymKickstart.
And I am letting you know ourreal estate gym program, which
is my standard program, has beenfor over a decade, is now open
(15:01):
for business.
We'll be taking memberships.
I think it's only$65 a month.
And you have me as your coachand join the thousands that are
on that great program.
Get your training 247.
So, team, thank you.
And you know where I'm headingoff right now?
To watch Rufus DeSolve.
I reckon one thing they need to do is create a law
that buyers that walk intoproperties at open for
inspections on Saturdays orauction day, there's no need to
open up the fridge.
Like, what doesn't matter whatthe people that live in the
property have in their fridge?
How will it affect what you do?
(00:22):
Why open up someone's fridge?
How will it affect the pricethat you're prepared to pay?
Like, whether they have soy milkor full fat milk, whether
they've got booze in the fridgeor not.
Why does it matter?
I get really, I told the buyertoday, like, I said, why do you
care what's inside that fridge?
(00:43):
Why do you care?
And he just stared at me and hewent, ha ha, and just walked
away.
When they're making the new lawsin Victoria and in Sydney
regarding auctions, they mightat the same time say to people,
don't open up fridges.
But let's talk about that for aquick moment.
(01:03):
Let's talk about that becauseI've been traveling a lot.
Yesterday I had to do a charityauction uh in Adelaide that had
no reserve.
And I have to tell you, it was avery emotional auction because
the person that donated the landwas someone that had lost a
three-year-old child, and hefelt he had to do it.
(01:27):
He wanted to donate this tocharity, and the charity was
called Variety because they area children's charity.
What an incredible fella.
Incredible.
I really had tears in my eyeswhen he told me the story
because I asked him, what's yourconnection to the charity?
And the way he sort of said itabout losing his three-year-old.
(01:48):
Anyway, and by the way, whilstwe're talking about those
stories, another sad story, I'minvolved with Wingman as an
ambassador, and they are asponsor of a charity called
Destiny Rescue, and they go out,Destiny Rescue, mainly in
Southeast Asia, stoppingpedophiles, right?
And I had a dreadful, very,very, very sad text message
that's come in.
(02:08):
I'm gonna actually put it upbecause I want prayers.
A 12-year-old got molested andhas now got AIDS.
This happened last week.
Devastating news, devastatingnews.
A team, the underquoting laws.
So in Victoria.
During the week, there's aproposal, and let's I want
everyone just to calm downbecause I've got all these real
(02:30):
estate agents saying to me, Tom,what are we gonna do this week
when buyers say, what's thereserve?
What's the reserve?
Let's be very, very clear.
The legislation in Victoria andNew South Wales is proposed
legislation that's got to gothrough a process.
So, right as we speak, youoperate with your current
(02:51):
legislation, right?
That's the first thing.
The second thing is, let me tellyou, the proposal to have a
reserve price made availableseven days before an auction has
got some advantages.
And the advantages are if abuyer uh hasn't done a pest and
(03:13):
building inspection prior to theseven days, they can wait till
the seven days to then decide.
To then decide what it basicallymeans is that you're gonna have
a week, you're gonna have oneweek to move really, really
quickly, really, really quickly.
The street, John, that thatproperty sold in Strathfield,
(03:34):
let me give it to you, is AuburnRoad, number 49, Auburn Road,
number 49 Auburn Road.
Now I want to let you know,ladies and gentlemen, that the
positive of having the reservemade available prior is that
it's going to save peoplebidding on properties that they
(03:57):
had no chance.
Let me tell you what the consare.
The cons are that you're forcinga buyer to quickly try and get
done things done in the lastweek.
Number one.
Number two, and this is the bigone.
Listen to me carefully.
(04:18):
I auction, I don't know, closeto a thousand properties a year,
every year, and I've done so formany years.
Auction is actually a very smallpart of my life.
A lot of people ask me, youknow, is that all you do?
Auction is five percent of mylife.
95% of my life is running mydigital subscription business,
(04:40):
running my conferences, and I'mpretty much out of Sydney pretty
much Tuesday, Wednesday,Thursday every week.
I'm away from home over 200nights a year, and I have been
for decades, and that is Mondayto Friday work, conferences.
But I've got to let you know,I've done a lot of options, and
I've got to tell you I sit andtalk to an owner at two o'clock,
(05:04):
and I ask him, What's yourreserve?
And they give me a reserve oftwo million, and then I say to
them, Have you got anyflexibility?
If you don't get two million,will you negotiate?
They often say, No, we want twomillion.
Let me tell you, five minuteslater, the property gets sold
(05:25):
for 1850.
This happens all the time.
You need to understand thatvendors often do not put their
numbers on the table becausethey want a little bit of wiggle
room.
Often there is no trust there,right?
So what they're saying is, I'llkeep a higher number and that
(05:48):
way I can come down.
Herein lies the biggest issue,right?
The fact that a vendor generallyis adjusting reserve not just
the last week, but the lastminute.
The first thing.
(06:08):
The second thing, I want to letyou know that if you look at the
contractual relationship in realestate between agent and
principal, the vendor pays areal estate agent a fee to sell
the property at the highestpossible price.
(06:29):
Now, if you turn around and say,even if situation number two,
where I'm saying they adjust thereserve isn't an issue, you got
another big issue.
And let me tell you what thatother big issue is that what
buyer is gonna want to bebidding a lot more than the
(06:55):
reserve, and they're gonna knowthe reserve.
Think about that.
Buyers don't want to feel likeI'm paying so much over the
reserve, which in turn meansthat that legislation, if it
went through, could potentiallydisadvantage vendors, and that's
(07:16):
what I believe the Real EstateInstitute of Victoria is making
noises about, right?
So 100% we need a solution.
We need a solution that can workpractically now.
(07:43):
But a friend of mine bought aproperty in the low twos the
other week.
The property went to auction,and you know what happened with
that property?
It wasn't underquoted, it wasoverquoted.
It was overquoted, and whathappened is because it was
overquoted, there was noexcitement with buyers and no
(08:05):
buyers showed up.
So then what actually happenedis my friend went, and he's very
opportunistic, always lookingfor a good buy.
He went there two days later,and he bought the property for
around 300 grand less than theprice that was being quoted.
And I've got to say to you,because there was no other
(08:27):
buyers, he bought it well, andhe was prepared to go
significantly more, and it's abloody good buy.
It's a very good buy, right?
So the point I'm saying is thatI've got to tell you,
underquoting is one part thatneeds to get fixed.
Overquoting can be very, verydetrimental to getting a result
(08:54):
for a vendor.
And this vendor's probably losta few hundred thousand dollars
that they could have got in themarketplace.
So, team, all I'm gonna say toyou is work needs to be done as
far as I'm concerned.
The drawing board's gonna needto go back to and fro, and
(09:16):
they're gonna need to get anindustry-led consultation
because no plan survivescollision with reality, and
that's a fact of life.
And I have to tell you that realestate agents live in a world
where nearly on all occasions,when they list a property, the
(09:36):
owner is wanting more than it'sworth, and a real estate agent
needs to be able to go throughthe process to help work out
roughly what it's worth, and inthat process, that vendor gets
educated.
That's called vendor education.
And the one of the things thatmakes it so complicated is
there's no recommended retailprice in real estate, and that's
(09:57):
what makes this so hard.
But I've got to tell you to allthe real estate agents that have
rung me getting nervous aboutthings, there's nothing to get
nervous about if you do theright thing.
And I had a real estate agentsaying today that wanted to go
that high is that I was paranoidthat I would be done for
underquoting.
I mean, think about that, havinga real estate agent hoping that
(10:21):
the property doesn't sell for ahigh price in case they get into
trouble.
I've got to tell you this andlisten to me very carefully.
Listen to me very carefully.
Real estate agents, don't worryif you're doing the right thing.
You've got nothing to worryabout if the occasional result
(10:43):
goes for overs.
What they're looking for issystemic behavior.
Number one, understand that.
Number two, make sure you aredoing the right thing, because
I've got to tell you, you can'tescape.
As I said in an earlier videothat I did last week, you gotta
act and behave that everythingthat you're doing is being seen.
(11:06):
And the reason I say that isthat with AI and technology now,
they can easily have a look atwhat you put a property in at
the back end, what it sells for,and then ask for the file.
So, team, be very mindful of it.
I have to say that the uh fearof missing out that existed in
(11:26):
October appears to havesubsided.
The craziness has sort of gone,and I think a lot of it has to
do with the fact that after theinflation numbers came out at
the end of October, and then allof a sudden the whole mood and
the sentiment about auctions,sorry, about um talked about
auction.
I'll talk about auctions in amoment because that's got to be
(11:47):
the most talked-about realestate topic this week across
Sydney and Melbourne, is thenthey announced that rates
wouldn't be going down, and thatsort of changed the mood.
And then the view was not onlyis it not going to go down in um
November, Melbourne Cup Day,that was a scheduled meeting,
but it's not gonna go down alsoearly in the new year.
(12:10):
And that all of a sudden did twothings.
It actually got buyers toactually stop getting carried
away with fear of missing out,but it also brought in a lot of
stock.
There was not a lot of listingscoming towards this end of this
year, and I was talking to allthe auctioneers, and then all of
(12:30):
a sudden, an onslaught of stockhit the market.
And when you've got a coolingsentiment and you've got more
listings, that basically meansthat you get a more softening of
prices.
However, you still havesubmarkets, and without a doubt,
like if I to give you a summary,under one and a half is still
(12:53):
pretty good.
One and a half to two and a halfto three, four mil, that price
point there is not great.
Over five million is prettygood.
So that's roughly a bit of asummary of what actually
happened.
Now.
Now the last thing I want to letyou know, I'm just so over the
moon to all the real estateagents there.
(13:15):
We launched Black Belt.
It's a transformational realestate coaching program for real
estate agents in Australia andNew Zealand, and within five
days of launching it, we've gotan oversubscription of people
that have applied.
And what I'm going is now goingto be speaking to each of those
(13:36):
people to work out who's goingto be accepted in the program.
So I'm letting you know, ladiesand gentlemen, Black Belt and
Susan has put the link in thereas well.
That's the first thing.
Black Belt, we're going to bemeeting every quarter.
Monthly accountability, numbersare coming in.
(13:56):
We're going to help real estateagents be their best version of
themselves in 2026.
And I've also got to let youknow the real estate gym is
having a major event on Februarythe 10th.
We've got some of the great realestate agents across Australia
that are going to be speaking.
We've got Sam McLean, who Ibelieve is one of the best AI
(14:18):
thought leaders in the business,she'll be speaking.
We've got Dip Chittiak.
I don't know what he writes, butit's way over 5 million and
somewhere under 10 million.
He's going to be, we've got anemerging panel of agents that
are doing more than a hundreddeals a year under 30 years of
age.
Under 30 years of age.
Four of them.
They're going to be on thepanel.
(14:40):
We got John McGrath, and that isfor my real estate gym members,
and it is only$39.
We want you to start off youryear very strong.
It is the Real Estate GymKickstart.
And I am letting you know ourreal estate gym program, which
is my standard program, has beenfor over a decade, is now open
(15:01):
for business.
We'll be taking memberships.
I think it's only$65 a month.
And you have me as your coachand join the thousands that are
on that great program.
Get your training 247.
So, team, thank you.
And you know where I'm headingoff right now?
To watch Rufus DeSolve.
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