Australian property resales hit their highest profitability rate since July 2010 in Q1 2024, driven by rising home values despite economic challenges and high mortgage rates. CoreLogic’s Q1 2024 Pain & Gain report, which analyzed around 85,000 resales, found that 94.3% of transactions recorded a nominal gain.

Eliza Owen, CoreLogic’s head of research, reported an 8.5% increase in transactions from the same quarter last year and a 1.7% rise in national home values. The median gross profit decreased slightly to $265,000 from $268,000 in the previous quarter, attributed to more unit resales.

Melbourne had the highest rate of loss-making sales among capital cities at 9.2%, up from 8.9% in Q4 2023. Adelaide and Brisbane were the most profitable, with only 1.6% of resales making a loss. Owen highlighted Perth’s turnaround, with loss-making sales down to 6.4% from 43.8% in June 2020.

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