What the 2026 NSW Underquoting Reforms Mean for Selling Agents

The Property and Stock Agents Amendment (Underquoting and Other Agent Conduct) Act 2026 changes NSW underquoting and related agent-conduct rules in two stages. According to NSW Fair Trading, some changes started on 29 June 2026, including higher maximum court-imposed penalties for many existing offences and stronger disciplinary and education powers. Further reforms (Statement of Information, selling price or range on most ads, and new underquoting / SOI penalties) are expected towards the end of 2026 on a date still to be announced, after regulations and forms are ready.

Until then, selling agents must still follow the current estimated selling price and advertising rules: a reasonable, evidence-based ESP in the agency agreement, no misleading “offers over” style wording, and a 10% maximum spread when an ESP is a range. Always confirm what is in force on Fair Trading before you change office templates. This is a practice explainer for selling agents, not legal advice. For auction-day bidding integrity (dummy / false bids), see auction prohibited conduct - this post is about price guides, SOI, and underquoting on the campaign, not the hammer.

Two-stage commencement: what is live vs what is waiting

Passed Parliament is not the same as in force. Fair Trading’s changes page (published 8 July 2026) is the official map: some provisions started on 29 June 2026; others wait on a date TBA, currently expected towards the end of 2026.

In force from 29 June 2026

Fair Trading reports that the first stage includes:

• Higher maximum court-imposed penalties for many existing offences. Examples include acting without a licence, dummy bidding, and trust-money mishandling, with maxima of up to $110,000 (corporations) and $55,000 (individuals) for some offences.
• A new $11,000 maximum for CPD non-compliance.
• New disciplinary powers: publicise misconduct; require a Licensee in Charge or independent valuer to verify an ESP; suspend certain sales activities; Compensation Fund indemnity.
• Education and training directions; agency-agreement form powers; and a new impersonation offence (maximum $110,000).

These maxima are for the offences and powers Fair Trading describes. They do not mean the later underquoting-specific penalty formula is already live.

Expected later in 2026 (not yet commenced)

Until commencement is announced, treat these as coming duties:

• Consider comps when setting or revising an ESP, and keep records.
• Complete a Statement of Information on an approved form (still TBA), including comparable sales; include the SOI or a link in online ads; display it prominently at inspections; give a copy within two business days if a buyer requests the SOI or the contract.
• Show a selling price or range on most published ads (for-sale signs on or adjacent to the property generally exempt; other limited exemptions may appear in regs).
• Floors so advertised price is not lower than the ESP, the highest known passed-in registered bid, or certain rejected written offers (price-too-low only); update online ads within one business day.
• Underquoting max court penalty $110,000 or three times commission (whichever higher); SOI non-compliance max $27,500; higher disciplinary monetary penalties $27,500 individuals / $55,000 corporations.

Do not treat SOI, mandatory price-on-ads, or the $110,000 / 3× commission underquoting maximum as already in force.

What selling agents must already get right (current ESP rules)

The price estimation and underquoting page (last updated 8 July 2026) sets out rules that already apply:

• Put an ESP in the agency agreement.
• Make it a reasonable estimate (comps, location, features, market) and keep evidence.
• Pass on offers; revise the ESP in writing with evidence and amend the agreement.
• Update or retract marketing that no longer matches the ESP.
• Do not use misleading “offers over” or “$XXX+” wording.
• If the ESP is a range, the top must not exceed the bottom by more than 10%.
• If the seller instructs you not to disclose the ESP, put no price in ads, writing, or verbal guidance.

That page also tips that new underquoting and price-ad laws are expected towards the end of 2026. Tighten today’s ESP discipline now; watch for later commencement.

Statement of Information (SOI): what is coming

SOI sits in the later stage. There is no approved Fair Trading form to download today.

What an SOI is

Fair Trading will publish an approved form. Agents will complete property-relevant information, including comparable sales they identify. Do not invent local “SOI templates” as if they were official.

How agents will have to use it (once commenced)

Once the later stage starts, Fair Trading says agents will need to:

• Include the SOI or a link in online ads (website, social, apps, email / electronic).
• Display it prominently at inspections.
• Give a copy within two business days if a prospective buyer requests the SOI or a copy of the contract.

Watch Fair Trading for the form and commencement date. Do not invent form fields or record-keeping detail Fair Trading has not yet published.

Price guides and advertised selling prices under the reforms

Not yet commenced unless Fair Trading has updated by the day you read this.

When the later stage starts, most published ads will need a selling price or range. For-sale signs on or adjacent to the property are generally exempt. Advertised prices will need to sit above floors tied to the ESP, the highest known passed-in registered bid, and certain rejected written offers (price-too-low only), with online updates within one business day.

Those floors are about campaign pricing transparency, not auction bidding tactics. For hammer-day rules, use auction prohibited conduct.

Practice checklist for selling teams

Tighten these habits before the remaining reforms start:

• Document how the ESP was formed (comps + file notes).
• Record written offers and vendor rejection reasons carefully.
• Align portal search prices, verbal guidance, and the file ESP.
• Brief open-home staff: no “expected to sell under ESP” soft-sell.
• Watch Fair Trading for the approved SOI form and commencement.
• LICs: supervise pricing / advertising processes; keep staff CPD on the agency training plan (NSW CPD requirements 2026-2027).

Open-home enforcement heat

A ministerial release on 4 September 2026 reported Fair Trading’s Taskforce attended about 80 open homes over roughly two months: 10 agents fined (totalling $20,900), 5 warnings, and 16 education directives. Inspectors posed as buyers, then checked records.

Most agents do the right thing. The Taskforce can attend without notice, so ESP evidence, offer records, and open-home messaging should already match what you would explain on the day.

How this ties to CPD

Price transparency and professional conduct are skills salespeople refresh through approved interactive CPD. This article does not claim “underquoting” is a named compulsory topic. Confirm topics on Fair Trading’s CPD page and, if useful, NSW CPD requirements 2026-2027.

Browse the salesperson pathway on the CPD course catalogue (live package $349; next intake 12–13 October 2026). Teams logging completions can also use CPD Tracker where that fits supervision habits.

FAQs

Are the 2026 underquoting reforms all in force now?

No. Higher general penalties and stronger Fair Trading powers started 29 June 2026. SOI, mandatory price-on-ads, and the new underquoting penalty formula are not yet commenced (expected towards end of 2026). Confirm Fair Trading before updating templates.

What is a Statement of Information for NSW agents?

Once the later stage starts, an approved Fair Trading form covering property-relevant information and comps. Agents will link or include it in online ads, display it at inspections, and supply a copy within two business days on request (SOI or contract).

Do I already need a price guide on every online ad?

Not under the new mandatory rules yet. Follow current ESP / advertising rules now, including no misleading “offers over” / “$XXX+” wording and marketing that matches the ESP.

What underquoting penalty applies today vs after the remaining reforms commence?

From 29 June 2026, higher maxima already apply to many existing offences (Fair Trading examples up to $110,000 corp / $55,000 individual for some). The underquoting-specific $110,000 or 3× commission maximum, and $27,500 SOI non-compliance maximum, apply when later provisions commence - not as today’s live underquoting fine.

How is this different from auction prohibited-conduct rules?

This guide is price guides, SOI, and underquoting on the campaign. Hammer-day bidding integrity is auction prohibited conduct.

Where can NSW salespeople complete related CPD with EDUTIVE?

The salesperson pathway on /cpd-course. Confirm your pathway on Fair Trading’s CPD page.

Next step

Confirm what is live on Fair Trading’s changes page and price estimation page. Tighten ESP evidence and open-home messaging now; watch for SOI and later-stage commencement. Refresh salesperson pathway skills on /cpd-course. For auction bidding integrity only, see auction prohibited conduct.