Why The Block 2024 auction has Channel Nine 'nervous': 'All bets can be off'

The Block 2024 is set to wrap up its historic 20th season this weekend, as the five houses on Philip Island, Victoria go up for auction. The finale will mark the end of one of the most chaotic seasons in recent history, with two teams quitting the show and a 'flirting' scandal rocking two of the couples.

As if there hadn't already been enough tears and drama, there could be more sad faces on auction day as bidders compete to get their hands on one of the five houses. For the first time in eight years, each of the properties at the Cowes site has a price guide of less than $2 million which could mean that Channel Nine loses money on its original $8.7 million investment.

Domain's Senior Property Editor, Alice Stolz, told Yahoo Lifestyle that Nine was likely "nervous" about the impending result.

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"It's an interesting situation, because Nine, in this case, is the vendor here," she said. "Last year we saw houses go a million over reserve. A lot of that [Nine recouping their money] depends on if they all sell. And then also how much they go over reserve because that's where Nine are paying the contestants that prize money."

Why Channel Nine is likely nervous ahead of The Block auction

With all five homes carrying a price guide of $1.7 million to $1.85 million, each property would need to sell at the top of that range for the producers to recoup the costs of purchasing the site. However, the "lower" price point could mean that more potential buyers can throw their hats in the ring.

For example, this year, serial Block buyers Adrian Portelli and Danny Wallis will face off against newcomers Entrepreneur Tom Ormerod, and his business partner Ollie Howard, who will take on the two titans on behalf of their time-share company Paradoor, which allows Aussies to co-own holiday homes.

Ormerod's mission is to make The Block houses more accessible to everyday Aussies, telling Domain, “By reducing the cost to circa $350,000 for eight owners, we hope to make The Block accessible to the fans so that it’s not dominated by the super-rich.

“It’s time to bring The Block back to the people. For too long it’s been for the billionaires’ club.”

"It's such a weird thing because, for a lot of people, this is an incredibly high price point," Alice tells us. "But there is this other part of the world where you've got a Danny Wallis and Adrian Portelli throwing around this money, and they know the value of these homes and they know the resale value, they know the rental value that they can give."

She continues, "It's really interesting. But what I am encouraged by is that we do have – it is in a more affordable price point like in this area, Victoria has gone down 6% over the past year. So you know, for buying opportunity, it's definitely there. It's definitely a buyer's market. But I'm sure Nine are feeling as nervous as any vendor is."

Will all of the houses on The Block sell at auction?

In addition to the lower price guides of the five houses, there is also the possibility that one or more of the houses won't sell on auction day, as has happened in the past.

"I was talking to Scotty and Shelley when we were filming yesterday, and I know that we all feel a bit sick in our tummy about this the day before [the auction]," Alice says. "It's just like with any auction, you know, it's, it's nerve-wracking, and it's particularly nerve-wracking in a market like this."

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"I think when we look at clearance rates, the average last month from Victoria was around 59%, that would imply that you know, two to three houses should sell," Alice told Yahoo Lifestyle. "It may be that one or two don't. The only caveat to all of that though, is that The Block is this unique market. All bets can be off."

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