House and unit resale gains are widespread, but first-home buyers face a widening gap
Australian homeowners are recording their strongest resale outcomes to date, with national median resale profits reaching new record highs and more than 90% of house resales in every capital city returning a profit for the first time in 15 years.
In the second half of 2025, 97.5% of house resales and 88.3% of unit resales across Australia delivered a profit, according to Domain’s latest Profit and Loss Report. Record median profits were reported for Sydney houses ($750,000); Brisbane houses ($580,000) and units ($325,000); Adelaide houses ($539,500) and units ($290,000); and Perth houses ($528,000) and units ($226,050).
Domain noted that these persistent gains were supporting upgrade activity and contributing to intergenerational wealth transfers, which it said were sustaining demand and price growth. It also pointed to a growing divide, with accumulated equity acting as a buffer for many existing owners while first-home buyers and more recent entrants continue to face affordability pressures and uncertainty around interest rates.
The report said profitability was not confined to higher-priced areas. It cited near-universal gains across many established, family-oriented middle-ring suburbs, indicating growth across a range of price points.
Sydney was identified as holding the largest levels of housing equity, supported by higher values and longer holding periods. Domain said the city’s annual median profits rose 11.1%, and that in high-value markets such as the Eastern Suburbs, the median house resale profit reached $2.77 million.
Brisbane and Perth recorded the highest share of profit-making house resales, at 99.5% each. Domain said annual median profits increased by 22.9% in Brisbane and 25.7% in Perth, the largest rises nationally. Adelaide followed, with 98.2% of house resales making a profit and median profits up 15.5% over the year. Domain linked the record profits in Adelaide, Brisbane and Perth to growth and equity accumulation since 2021, supported by strong migration flows and constrained supply.
Melbourne, Canberra, Hobart and Darwin were described as cooler markets compared with other capitals, with lower profit shares and median profits lower than four years ago. Canberra was the only capital city in the report to record an annual decline in the share of profit-making resales, which Domain attributed to softer price growth.
| Profit and loss for house resales – H2 2025 | ||||||
|---|---|---|---|---|---|---|
| Profit | Loss | |||||
| % resales | Median Profit | Annual change in profit | % resales | Median loss | Annual change in loss | |
| Australia | 97.5% | $440,000 | 14.9% | 2.5% | -$75,000 | 25.0% |
| Combined capitals | 97.6% | $530,000 | 14.7% | 2.4% | -$85,000 | 41.7% |
| Combined regionals | 97.3% | $330,000 | 15.8% | 2.7% | -$60,000 | 20.0% |
| Sydney | 97.9% | $750,000 | 11.1% | 2.1% | -$191,500 | 74.1% |
| Melbourne | 95.9% | $390,000 | 1.6% | 4.1% | -$55,000 | 10.0% |
| Brisbane | 99.5% | $580,000 | 22.9% | 0.5% | -$278,100 | 363.5% |
| Adelaide | 98.2% | $539,500 | 15.5% | 1.8% | -$215,000 | 34.4% |
| Perth | 99.5% | $528,000 | 25.7% | 0.5% | -$300,000 | 130.8% |
| Canberra | 93.1% | $370,000 | 3.0% | 6.9% | -$68,500 | 14.2% |
| Hobart | 94.3% | $330,000 | 4.8% | 5.7% | -$40,000 | -23.8% |
| Darwin | 94.9% | $201,000 | 14.9% | 5.1% | -$34,500 | -23.3% |
| Source: Domain | ||||||
| Profit and loss for unit resales – H2 2025 | ||||||
|---|---|---|---|---|---|---|
| Profit | Loss | |||||
| Region | % resales | Median Profit | Annual change in profit | % resales | Median loss | Annual change in loss |
| Australia | 88.3% | $228,000 | 20.6% | 11.7% | -$50,000 | 5.3% |
| Combined capitals | 86.2% | $215,000 | 19.4% | 13.8% | -$50,000 | 8.8% |
| Combined regionals | 95.8% | $260,000 | 20.9% | 4.2% | -$69,000 | 15.0% |
| Sydney | 87.2% | $216,288 | 3.0% | 12.8% | -$52,000 | 6.0% |
| Melbourne | 75.4% | $122,000 | -2.4% | 24.6% | -$46,829 | 4.1% |
| Brisbane | 99.1% | $325,000 | 52.9% | 0.9% | -$205,084 | 310.2% |
| Adelaide | 96.6% | $290,000 | 20.8% | 3.4% | -$255,000 | 286.4% |
| Perth | 96.8% | $226,050 | 51.1% | 3.2% | -$100,500 | 139.3% |
| Canberra | 87.4% | $106,100 | -7.8% | 12.6% | -$33,000 | -26.7% |
| Hobart | 95.8% | $203,500 | 7.7% | 4.2% | -$67,500 | 150.0% |
| Darwin | 72.0% | $78,500 | 20.8% | 28.0% | -$45,000 | -33.8% |
| Source: Domain | ||||||
“The extraordinary capital growth in Australia’s property market is moving into homeowners’ pockets at unprecedented levels as more households turn a profit,” said Nicola Powell (pictured right), chief of research and economics at Domain.
“As homeowners stay put for longer, they are seeing their equity build up over multiple price cycles. This widespread profitability has given many Australians a strong financial safety net and access to continue to ‘climb the ladder’, while providing a buffer against pressures such as rising interest rates and inflation.
“However, the sheer size of these profits is creating a wider gap between established owners and those attempting to enter the market, making it increasingly difficult for younger Australians to buy property without the support of intergenerational wealth. With record median profits in many of our cities and regions, the barrier to entry is increasingly defined by existing family equity, rather than individual savings alone.”
Want to be regularly updated with mortgage news and features? Get exclusive interviews, breaking news, and industry events in your inbox – subscribe to our FREE daily newsletter. You can also follow us on Facebook, X (formerly Twitter), and LinkedIn.
