The blowtorch is being applied to the strange goings-on at The Block auctions, with experts calling for the show to be banned over its questionable practices.

COMMENT

The Block auctions Sunday on Cedar Lane, Daylesford, did the auction system a huge disservice through its lamentable use of vendor bids.

Oddly the vendor bids were placed above their official reserves.

The occurrence is so unusual that there appears to be no legislative consideration for the circumstance.

But there should be a ban because it involved disregard of the bidding norms for the purpose of making “great television.”

Regular auction attendees have always been led to understand that the convention is – written reserve price is the official price when the property offering is being sold. Any bid at or higher ought to see the auctioneer ready to bring down the gavel.

The Block 2025 Auctions. Picture: Supplied/Nine.

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But the weekend Daylesford auction hijinks saw presenter Scott Cam instruct acquiescent auctioneers to place vendor bids above the reserve.

Veteran Sydney auctioneer David Scholes was dumbstruck watching the broadcast on Channel 9 when the tactic kicked off at the Ray White auction of the house renovated by Emma and Ben Cox.

He said he was sick of seeing auction norms disregarded on TV reality shows.

“How is it allowed to put a vendor bid above the reserve price?” he asked.

“Does that mean the vendor buys the property? From my understanding, after 43,000 auctions, a vendor reserve means they will sell at that figure or above.

Questions have been raised over the auction tactics.

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The public debate since the auctions has mostly centred on the high reserve prices, with Scholes adding that if Nine wanted all their contestants to make money, “then get the reserves right.”

There were reserves of $2.99m given after valuations by CBRE, except for house four, which had a $2.94m reserve after a slight deduction for previously winning a renovation weekly prize.

The Block listings, with three houses selling and two passing in, had been given price guidance beforehand of $3m to $3.3m.

Vaucluse Hot Auction

Auctioneer David Scholes. Picture: Daily Telegraph / Gaye Gerard

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The vendor bid tactic came in what was seemingly an attempt to turn the televised auctions into fairyland endings.

The auction technicality doubt is: did the rules displayed at weekend auctions set out the prospect of vendor bids being placed above auction reserves?

Were the vendor bids placed by the vendor, Micjoy?

Or perhaps by the vendor’s representative and by what authority?

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Is the home on the market?

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