Did you know nearly 95% of Australian property resales turned a profit last quarter, with a median gain of over $300,000? This article dives into the latest trends from the Cotality Pain & Gain Report, revealing which areas and property types are seeing the biggest boosts, and what it could mean for your equity.
Australian property owners are seeing more boosts to their equity, with new figures showing that the vast majority of dwellings resold in the March quarter delivered a profit.
According to the latest Pain & Gain Report from Cotality, 94.9% of resales in the March quarter achieved a nominal gain – meaning they sold for more than their previous purchase price.
While this was unchanged from the December quarter, it’s still a historically high rate of profitability. Nationally, the median profit earned by vendors was $305,000, although this marked a slight drop from $310,000 in the previous quarter. This was the first decline in median resale profits in two years.
Capital cities vs regions
Profitability remained higher in regional areas than in capital cities – a trend that has been in place since 2019. In the March quarter, 96.5% of regional resales were profitable, compared to 93.9% in capital cities.
This reflects the continued price growth and popularity of regional lifestyle areas, particularly since the pandemic. Regional hotspots like Busselton in Western Australia, and Noosa and the Sunshine Coast in Queensland, recorded some of the strongest profit increases over the past five years.
Houses vs units
As in previous quarters, houses continued to outperform units.
Cotality found that 97.2% of house resales delivered a profit, compared to 90.1% of unit resales. Median profits from houses were also significantly higher, at $355,000 compared to $205,000 for units.
However, unit profitability did show signs of improvement, rising slightly from 89.9% in the December quarter.
Market outlook
The report noted that profitability rates closely mirror national home value movements. With home prices rising by 0.9% during the March quarter, and a further 1.3% gain recorded in the three months to May, Cotality expects profitability to strengthen again in the June quarter.
For sellers holding onto their property for the long term, the outlook remains positive. Nationally, the median hold period for profitable sales was 8.9 years – reflecting the benefits of long-term ownership.
If you've built up equity in your property, you could use this to fund the deposit on an investment property or renovations. Get in touch to find out how.
Helpful links.
Ready to get started?
Start applicationLet’s chat today to find the right solution for you.
Let’s chat today to find the right solution for you. Whether it's your first home, a growing business, or a new vehicle, Gwen and the Ferns Finance team are here in Beenleigh, Logan, Scenic Rim, and on the Gold Coast to offer expert, obligation-free advice tailored to your goals.
Related articles that may interest you
Investment Loan Fixed Rates Ending? Review Every Loan, Not Just One
Investors often have several loans with different expiry dates. Here is how to map each fixed or interest-only period, see what each loan reverts to, ask for retention offers loan by loan and check your equity, with a worked example in dollars per month.
From 80% to 60% LVR: How the 2026 Property Boom Can Eliminate Your Lenders Mortgage Insurance (LMI)
With Logan Reserve house prices surging by 13.9% and units by over 21%, many homeowners are sitting on a "gold mine" of untapped equity. If you started with a small deposit, you could now be in the "Golden Zone" to refinance. Discover how your home’s rising value can transition you from an 80% to a 60% LVR, allowing you to ditch LMI and unlock the market’s lowest interest rates. Is your home now doing the heavy lifting for your bank balance?
Why the CGT Discount Changes Shouldn't Scare You: A Better Way to Grow Your Wealth in South East Queensland
The 50% capital gains tax discount is being replaced from 1 July 2027 with inflation indexation and a 30% minimum tax on gains. Plenty of investors in Logan, Beenleigh and the Gold Coast are asking if they should sell first. For most, selling is the expensive option. Here's what actually changed, what's protected, and how equity can keep your portfolio growing without triggering a tax bill.