Strong capital growth across the country has pushed property profits to levels not seen in two decades.
The latest Pain and Gain report from Cotality reveals that 95.9% of sellers in the December quarter recorded a nominal profit on their sale.
That figure alone tells a powerful story about the resilience of the Australian property market. Even with rising interest rates and affordability pressures, the vast majority of property owners are still exiting the market ahead.
The median profit reached a record $365,000 during the quarter. On the flip side, just 4.1% of transactions resulted in a loss, with a median loss of $45,000. The report analysed around 102,000 resales, giving it a solid foundation for understanding national trends.
What stands out most is that these gains haven’t been driven by short-term market spikes. According to Cotality’s Head of Research, Gerard Burg, the results reflect long-term holding strategies rather than quick wins.
Most profitable sales involved properties held for around 9.2 years. That reinforces a key principle in property investing. Time in the market continues to outperform attempts to time the market.
When you break down the data further, houses clearly outperform units. An impressive 98.1% of house resales delivered a profit, compared to 91.2% for units. The difference is also evident in the dollar figures.
Houses achieved a median profit of $428,000, while units came in at $246,500. This gap reflects differences in land value, scarcity, and buyer demand. Detached housing continues to command a premium, particularly in growth markets.
Brisbane stands out as the most profitable capital city in the country. A remarkable 99.9% of property sales during the quarter resulted in a profit. That level of consistency is rare and highlights the strength of the local market.
Adelaide follows closely at 99.4%, then Perth at 98.6% and Hobart at 97.2%. Even traditionally more volatile markets like Sydney and Melbourne recorded profit rates above 90%, sitting at 93.3% and 91.5% respectively.
Darwin remains the weakest performer, though still relatively strong, with 86.1% of sales achieving a profit.
In terms of dollar value, Brisbane again leads the way with a median profit of $500,000. Perth recorded the highest median loss at $90,000, reflecting some variability in that market.
For investors, these figures reinforce the importance of long-term strategy. Short-term fluctuations will always exist, but the broader trend remains clear. Holding quality property over time continues to deliver strong outcomes.
It also highlights the importance of buying well at the start. Profit is made at purchase, not just at sale. Identifying the right asset in the right location still underpins long-term success.
