Vendor bid.

Mechanic: when bidding stalls below the reserve, the auctioneer can call a 'vendor bid' on the vendor's behalf. The auctioneer announces 'vendor bid' clearly and bidding continues. Vendor bids are a price-discovery tool, not actual buyer demand. NSW Auctioneers Act 1991, VIC Auction Sales Act 1958, and QLD Property Occupations Act 2014 require explicit vendor-bid disclosure. Failing to declare is a regulatory breach.

Typical limits: at most 3 vendor bids during a single auction (NSW + VIC). After that, the auctioneer is restricted from further vendor bids unless declared in advance and included in the auction terms. The cap exists to prevent vendors from artificially manufacturing bidding momentum.

Buyer-side signal reading: 3 vendor bids early in the auction usually means the reserve is far above current bidding (typically 15-25% above the price guide). Auctions where the auctioneer relies heavily on vendor bids often pass in. Auctions where bidding moves up cleanly without vendor bids tend to clear above reserve.

What vendor bids are NOT: 'dummy bids' from undisclosed third parties (illegal in every state). The vendor bid is the legal, disclosed mechanism. Dummy bidding is the illegal version that triggered the post-2003 reform agenda.