The Block slams CAV investigation as scaremongering
The executive producer of The Block has slammed Consumer Affairs Victoria for scaring off potential buyers from the auction finale held on the weekend.
Saturday morning’s newspapers carried stories that all four estate agencies had been raided by the state government department.
Julian Cress, co-owner of Watercress Productions, which made the show for Nine, says the investigation into underquoting by the four estate agents created the impression that the reserve prices on all four houses could be well above $1 million.
''It was an absurd investigation in the first place, and I'd think today they'd be taking a long hard look at themselves,'' Cress says.
''On Sunday night they would have watched TV and realised the reserves were set well within the range the agents had been discussing,'' Cress told The Age.
The three single-fronted houses were quoted in the $800,000 to $890,000 range, and their reserves were revealed at auction as between $840,000 and $860,000. The double-fronted house was quoted between $900,000 and $990,000, and its reserve was revealed as $950,000.
Only one house – 39 Cameron Street, Richmond, renovated by Polly Porter and Waz Jones – sold under the hammer, for $855,000, $15,000 above the reserve. They pocketed the difference, plus $100,000 prize money for winning the series.
The house at 41 Cameron Street, renovated by sisters Katrina Chambers and Amie Godde, sold shortly after being passed in for its reserve price of $860,000.
The negotiations continue on the remaining two houses, with the renovator contestants still able to keep any profit above their reserve prices.
