Lisney set a new record in daft guide prices last week when it fetched £3.3 million for a Victorian house at 18 Elgin Road, Ballsbridge - almost three times its original guide price. Launched on the market three weeks ago, the property was expected to make "excess £1.2 million". This was eyewash from the start but while other agents valued the mews site to the rear of the property alone at £800,000, Lisney stuck to its guide price, and was delighted - though probably not in the least surprised - with last week's result.

It's unlikely that any of the runners at the auction for Elgin Road thought they were going to get it for £1.2 million. At that level of the market, buyers usually have a good idea as to what a property is worth and can disregard the guide price. Lower down the price scale, however, inaccurate guide prices cause a lot of grief for house-hunters who think they are in with a chance, but find they may be out of the running at the opening bid.

Last week, for instance, Hamilton Osborne King sold a house at Whitethorn Road, in Clonskeagh, for £660,000. The guide price had been £500,000 and, in fact, the reserve price was over £600,000, well outside the 10-15 per cent margin allowed by the Irish Auctioneers and Valuers Institute. Meanwhile Sherry FitzGerald withdrew Coolnahinch, a threebedroom house at Dundrum Road, in Milltown, from auction having failed to reach its reserve. The pre-auction guide was £240,000 but the agency is now seeking £280,000. In Monkstown, Gunne had been guiding £300,000 for a refurbished and extended three-bedroom house at Seapoint Avenue. It was sold at auction for £375,000, while in Ringsend, a refurbished house at 53 Bath Avenue made £565,000 at auction through Young's - £125,000 over the guide price.

While in each case the agent could be said to have done a superb job for their clients, the reality is that in most cases where a property far exceeds its guide price, the guide price has been pitched deliberately low.