Property profits hit 14-year high in Australia

According to The Australian Financial Review, more vendors sold at a profit in the March quarter although the size of their windfall gain shrank amid the seasonal decline in sales, CoreLogic’s latest Pain and Gain report shows.
The proportion of profit-making residential sales ballooned to 94.3 per cent nationwide, the highest level of profitability in 14 years, boosted by the persistent increases in home values, which outweighed weakness in the economy and higher mortgage rates.
More than 80,000 vendors raked in a total of $28.5 billion gross profits. However, this was lower than the $30.6 billion recorded in the December quarter. The median profit also fell by 1.1 per cent to $265,000 during the same period.
Eliza Owen, CoreLogic’s head of research, said the share of profit-making sales may increase further in the June quarter as values climbed higher.
“Profitable sales are likely to rise in what’s already a highly profitable market,” she said.

https://www.afr.com/property/residential/property-profits-hit-14-year-high-20240624-p5jocg