Hoskins, Maroondah, accused of underquoting 26 properties

ANOTHER MELBOURNE real estate agency is set to be dragged to court over underquoting allegations, as the state’s consumer watchdog claims 26 outer east properties were advertised for much lower than what it was believed they would sell for.

A Melbourne real estate agency underquoted 26 properties in the outer east and misled clients, the state’s consumer watchdog alleges.

A MELBOURNE real estate agency underquoted 26 properties in the outer east and misled clients to boost their commissions, the state’s consumer watchdog alleges.

Consumer Affairs Victoria has launched Federal Court action against Hoskins (Maroondah) Pty Ltd and its director Brent Robert Peters over alleged underquoting in 2015 and 2016.

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CAV alleges homes were advertised for much lower than what it was believed they would sell for and vendors who engaged the agency were misled.

Hoskins told two clients their properties would sell for much less than it was believed they would sell for in order to earn ‘incentive commissions’ when they reached a much higher price, the consumer watchdog claims.

The properties alleged to have been underquoted were in Croydon, Croydon Hills, Croydon North, Mooroolbark, Park Orchards, Ringwood, Ringwood North, Warranwood and Wonga Park.

CAV alleges the agency contravened section 18 of Australian Consumer Law, which prohibits misleading or deceptive conduct in trade and commerce, and false and misleading representations in connection to the sale of promotion of land.

It alleges section 21, which prohibits unconscionable conduct, was also breached.

CAV alleges Mr Peters aided and abetted the agency’s conduct.

The Herald Sun has contacted Mr Peters for comment.

The court action comes as a result of the Taskforce Vesta underquoting crackdown.

The case is listed for its first case management hearing in the Federal Court on February 2.

Hocking Stuart, Doncaster, was fined $160,000 earlier this week for breaching consumer laws by “plainly deliberate” underquoting following action brought by CAV.

The branch was also ordered to pay $10,000 in costs for misleading potential buyers between June 2014 and December 2015.