Nearly 96% of resales delivered a profit in the December quarter
Housing resale profitability lifted in the December quarter, with 95.9% of transactions recording a gain, new report from data and analytics provider Cotality has shown.
The latest resale figure was up from 95.6% in the previous quarter and the strongest outcome since 2005, based on about 102,000 resales analysed.
Source: Cotality
The median gain rose to a record $365,000, while the median loss edged up to $45,000.
“Resale profitability remains very high, but these gains have been built over time,” said Gerard Burg (pictured right), head of research at Cotality. “Most sellers have held their property for close to a decade, so the results we’re seeing now are a product of sustained value growth rather than short-term market movements.”
Properties sold at a profit had a median holding period of 9.2 years, compared with 8.2 years for those sold at a loss. Loss-making house resales were held for just over four years, aligning with purchases made around the COVID-era peak.
“Shorter ownership periods remain the key risk factor for losses, particularly for those who purchased closer to recent market peaks,” Burg said. “The longer a property is held, the more likely it is to absorb cyclical fluctuations and deliver a positive result.”
Houses continued to outperform units. Nationally, 98.1% of house resales delivered a gain, compared with 91.2% of unit resales. Median gains were $428,000 for houses and $246,500 for units.
Cotality said unit losses were concentrated in parts of Sydney and Melbourne, where additional supply has weighed on values.
“The performance gap between houses and units has continued and widened over recent years, reflecting both stronger demand for detached housing and a more challenging supply dynamic in some apartment markets,” Burg said. “In a number of inner-city unit markets, predominantly in Sydney and Melbourne, this additional stock has benefited those trying to get into the market but limited price growth and increased the likelihood of resale losses.”
| Proportion of total resales at a loss/gain, houses vs. units, December qtr 2025 | ||||
|---|---|---|---|---|
| HOUSES | UNITS | |||
| Region | Pain | Gain | Pain | Gain |
| Sydney | 1.2% | 98.8% | 10.9% | 89.1% |
| Rest of NSW | 2.1% | 97.9% | 2.3% | 97.7% |
| Melbourne | 2.6% | 97.4% | 18.4% | 81.6% |
| Rest of Vic. | 2.8% | 97.2% | 3.7% | 96.3% |
| Brisbane | 0.1% | 99.9% | 0.2% | 99.8% |
| Rest of Qld | 1.5% | 98.5% | 2.0% | 98.0% |
| Adelaide | 0.7% | 99.3% | 0.6% | 99.4% |
| Rest of SA | 2.3% | 97.7% | 1.7% | 98.3% |
| Perth | 1.2% | 98.8% | 2.0% | 98.0% |
| Rest of WA | 3.8% | 96.2% | 10.0% | 90.0% |
| Hobart | 3.2% | 96.8% | 1.3% | 98.7% |
| Rest of Tas. | 2.5% | 97.5% | 1.7% | 98.3% |
| Darwin | 5.5% | 94.5% | 26.7% | 73.3% |
| Rest of NT | 24.7% | 75.3% | 29.0% | 71.0% |
| Canberra | 4.3% | 95.7% | 8.9% | 91.1% |
| Cap city | 1.6% | 98.4% | 10.5% | 89.5% |
| Regional | 2.3% | 97.7% | 2.8% | 97.2% |
| National | 1.9% | 98.1% | 8.8% | 91.2% |
| Source: Cotality | ||||
Brisbane recorded the highest share of profitable resales among capital cities at 99.9%, with a median gain of $500,000. Adelaide followed at 99.4% with a median gain of $445,000, while Perth recorded 98.6% profitable resales and a median gain of $430,000.
Sydney recorded 93.3% profitable resales, but a median gain of $430,000, supported by a longer median holding period of 10.4 years. Melbourne had the lowest profitability at 91.5%, with a median gain of $324,000, with losses concentrated in inner-city unit markets including Melbourne, Stonnington and Port Phillip.
Outside the capitals, Kiama and Noosa recorded the strongest median gains, both above $700,000.
“Markets that have seen a combination of strong buyer demand and limited supply over an extended period are the areas that delivered the highest resale gains at the end of 2025,” Burg said. “That includes both lifestyle locations and cities like Brisbane and Perth, where housing values have risen rapidly in recent years on strong population growth and limited new supply.”
Regional areas recorded a higher share of profitable resales than capital cities in the December quarter (97.6% versus 94.9%), but capital cities delivered higher median gains ($410,000 versus $314,000). “The regional markets are showing a higher consistency of profitability for sellers, but capital cities are still generating larger nominal gains,” Burg added.
Cotality said resale profitability may become more uneven in 2026, citing higher interest rates, increased listings in Sydney and Melbourne, and easing population growth. “The drivers that supported strong profitability over recent years are starting to shift in some markets,” Burg noted.
“With higher interest rates and more supply coming online, the likelihood of buyers achieving ongoing record resale gains this year will wholly be dependent on timing, location and property type.”
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