A Melbourne home that was advertised for $1 million less than its eventual selling price formed part of an investigation that's led to two real estate agencies being sanctioned for underquoting.
The Footscray home was advertised in late 2015 for "$1 million plus" even though it had sold for $1.3 million about 18 months earlier.
It eventually went under the hammer for $2.1 million in December 2015.
Hocking Stuart Yarraville, which sold the Footscray property, and O'Brien Real Estate Croydon have agreed to pay fines of $45,000 each following a Consumer Affairs Victoria investigation into underquoting.
Both agencies admitted to engaging in false and misleading conduct.
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Homes were advertised at prices below what the vendor would accept and also lower than the agents' estimated selling price.
Hocking Stuart Yarraville's contraventions related to six properties. O'Brien Real Estate Croydon was found to have misled the potential buyers of seven homes.
"Victorian home buyers deserve a fair go - there's nothing clever about deceiving people who are making one of the biggest purchases of their life," acting Consumer Affairs Minister Lisa Neville said in a statement on Thursday.
In addition to the financial penalties, both agencies have agreed to implement "compliance" programs and display a notice in their receptions acknowledging the contraventions.
Consumer Affairs Victoria recently launched legal action in the Federal Court against Hocking Stuart Doncaster and Fletcher & Parker Balwyn for allegedly engaging in misleading and deceptive practices.
Hocking Stuart Richmond in October was found to have manipulated 11 house price estimates in the sought-after areas of Richmond and Kew between January 2014 and June 2015.
The Richmond agency was ordered to pay a $330,000 penalty plus $80,000 in court costs.
Consumer Affairs Victoria has nine other investigations into underquoting that are ongoing.
