One of Sydney’s leading property industry figures Tom Panos has warned that AI could be used to clamp down on agents who quote unrealistic price guides, comparing it to “speed cameras” at home sales.
The Minns government has unveiled plans to crackdown on underquoting in NSW with consultation beginning on proposed reforms to lift professional standards across the real estate sector, improve transparency in property listings and boost buyer confidence.
The proposed changes aim to overhaul misleading price estimates in property listings that give prospective buyers a price below its estimated selling price, with agents facing tougher penalties up to $110,000 fines or three times their commission.
Commenting on the proposals, Mr Panos, an auctioneer and industry trainer, said it was feasible that AI could be brought in to help administer the reforms.
“I’m pretty certain the process is in place where you have AI that actually goes to the back end,” Mr Panos said, warning agents they needed to fall in line.
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Anoulack Chanthivong, Minister for Better Regulation and Fair Trading. Picture: NewsWire / Monique Harmer
NSW Minister for Better Regulation and Fair Trading Anoulack Chanthivong said that there is a broad recognition not only from buyers but across the property industry that stronger underquoting laws are needed to restore trust and improve transparency in property sales.
“Our message is that we hear you – we’ve developed a package of reforms and are now consulting with the sector to ensure we get the balance right between consumer protection and practical implementation for industry,” he said.
“The proposed laws will ensure NSW Fair Trading’s Strata and Property Taskforce can take meaningful action against misleading conduct in property advertising and transaction and clean up the NSW market.”
For sale sign on black board near the residential building. Property Real estate concept
Mr Chanthivong said the proposed reforms are designed to bring greater transparency to property sales and ensure buyers are not misled by inaccurate price guides.
“By outlining our vision for clearer documentation and stronger penalties, we’re making it easier to hold agents accountable for underquoting,” he said.
“The proposed Statement of Information and advertising rules will help buyers make informed decisions and reduce wasted time and money – a win for consumers already struggling with cost of living pressures.”
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Tom Panos in a recent video “do the right thing”. Image: YouTube
In a recent real estate market wrap video, Tom Panos said agent’s need to be operating with a view that “everything that you say and do is actually being seen.”
“Everyone that is a real estate agent that is on here right now, listen to me and listen to me very carefully, you need to operate in a way, as if there is a speed camera every 50 metres,” he said.
Mr Panos also pointed to ensuring compliance as well as the possibility of AI monitoring.
“I’m pretty certain the process is in place where you have AI that actually goes to the back end to see what price filter you’ve uploaded the property in, it then looks at what the property gets sold what it is sold for and it then looks at all properties that have a variance for 20 per cent,” he said.
“Then they will request your file.
“This is what I believe the process is in place and the reason I say that is there were files and files and files requested by the office of fair trading this week.
“I’ve got to say to you, do the right thing.”
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