Australian home owners “continue to cash in”: Domain

Domain Group says Australian home owners are “continuing to cash in” as momentum in the national property market picks up.

The property data house says that in the first half of 2025, 97% of house resales and 88% of unit resales delivered a profit; levels not seen since 2005 for houses and 2022 for units.

The findings are contained in Domain’s latest Profit and Loss Report, which covers the first six months of 2025.

The details

Domain says Australians are holding onto property for longer periods and this is magnifying returns.

“Most sellers hold their homes for around nine years (houses) and eight years (units), allowing more time for equity growth and shielding against short-term fluctuations,” the group’s latest Profit and Loss Report states.

This is up by three and two years respectively compared to similar data from 2010.

“This longer hold time gives owners more opportunity to build equity and realise capital gains,” the property group says.

“And it’s not just the proportion of sellers making money that’s notable – profits are growing too.”

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Domain says the median gross gain for sellers rose to $365,000 for houses and $202,000 for units, while the minority who sold at a loss saw the median shortfall hold steady at $55,000 for houses and $46,000 for units.

Domain says these “strong outcomes” reflect the long-term impact of rising property prices, especially since 2021.

Significantly, Domain says there’s little sign of distress.

“Most sellers are transacting from a position of financial strength, with minimal evidence of forced or loss-making sales.”

Capital city houses

Domain’s Profit and Loss Report finds house sellers in capital cities continue to enjoy strong returns.

Brisbane and Perth led the way with more than 99% of house resales delivering gains, while Darwin, Hobart, and Canberra recorded the lowest share of profitable sales.

It wasn’t always this way, with Domain pointing out that Brisbane and particularly Perth, have increased their share of profit-making resales in recent years, while Sydney remained consistently high.

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For example, in 2020, only about 55% of houses in Perth were resold at a profit.

Median profits remain highest in Sydney ($700,500), followed by Brisbane ($480,000) and Adelaide ($430,000).

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Domain says while many cities have seen resale profits grow over time, Canberra, Melbourne, Hobart and Darwin have recorded declines since 2022.

When it comes to losses, Adelaide and Brisbane saw the largest median losses.

“However, with relatively few loss-making sales overall, trends remain less reliable,” Domain’s report says.

When it comes to specific areas, Domain says the largest resale profits for houses “are typically found in premium capital city suburbs, where higher entry prices mean even modest capital growth can translate into significant dollar gains.”

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In Sydney, these areas include Eastern Suburbs-North, Manly, and Chastwood-Lane Cove, while in Melbourne, the areas of Boroondara, Stonnington-East, and Bayside saw the greatest profits.

“These areas also tend to have longer holding periods, as they’re typically home to older households who are more likely to stay put.”

“Longer tenure in these areas allows equity to build over time and compounds the value of any market appreciation,” the report says.

Resale units

Domain says resale outcomes for units were more varied across capital cities.

While Brisbane, Adelaide and Perth clocked in with more than 97% profitable resales, Melbourne underperformed significantly, with only 73% of units selling for a gain.

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In the last six months, units in Brisbane and Adelaide have delivered the highest median resale profits, outpacing even Sydney – despite lower price points.

Domain says these results reflect strong capital growth in both markets since 2021.

Interestingly, Domain says unit sellers in regional areas of Australia fared better overall, with a higher share of profit-making resales than in capital cities.

“A key factor is longer hold periods, with regional units typically held for three years more,” Domain’s Profit and Loss Report says.

“This likely reflects a greater share of older owner-occupiers in regional markets, particularly in lifestyle towns and retirement hubs, where properties are typically held for longer.”

The outlook

Domain Group says that with momentum returning to the property market and “owners sitting on substantial equity”, profit-making sales are likely to be the rule, rather than the exception, during the remainder of 2025.

“Sydney continues to show steady resilience, supported by strong demand and limited supply, helping sustain solid resale profits.

“Unit markets in Melbourne show signs of underperformance, while Brisbane, Perth, and many regional areas continue to lead gains.

“Longer holding periods and continued price growth will remain key drivers underpinning resale profits,” the report says, noting that “property remains a reliable path to wealth” in Australia.