Key takeaways:
Most resales remained profitable, with 96% of Australian property resales recording a gain in the March quarter, according to new Cotality data.
Longer ownership periods were generally associated with stronger resale outcomes, particularly for houses.
Selling too soon can come with additional costs, including stamp duty, selling expenses, and borrowing capacity challenges.
Future outcomes may differ, with Cotality warning the path to profitability may become less clear if market conditions soften.
An Aussie Broker can help you understand borrowing power, assess affordability and plan for long-term homeownership goals.
For many Australians considering a property purchase, one question may matter just as much as where prices are heading next: Are they ready to buy a home that suits their longer-term plans?
That distinction is becoming increasingly important as buyers navigate higher living costs, changing lending conditions and uncertainty about what the property market may do next.
New data from Cotality's Pain and Gain Report, released today, found 96% of property resales nationally delivered a nominal profit in the March 2026 quarter, with the median gain reaching a record $377,000.
While the vast majority of resales recorded a gain, around 4% were sold at a loss, highlighting that outcomes can vary depending on timing, location and property type.
However, beyond the size of those gains, the report also highlighted a relationship between ownership duration and resale outcomes.
The data showed profitable house resales were typically held for more than 9 years, while loss-making house sales had a median holding period of just 4.3 years.
The association is also reflected in resale gains across different ownership periods. Properties held for two years or less recorded a median gain of $161,500, compared with $470,000 for those held 12 to 14 years and $887,250 for properties held more than 30 years.
“A longer hold period helps to even out the influence of housing cycles and highlights the long-term nature of home ownership,” said Cotality's Head of Research, Tim Lawless.
The figures do not account for inflation, transaction costs or holding expenses and should not be interpreted as net profit.
For prospective buyers, the findings raise an important question: how much should short-term market conditions matter when making a long-term housing decision?
Lawless said most Australians don't buy and sell property based on trying to perfectly time the market.
“The reality is that most homeowners' purchasing and selling decisions will be based on factors more related to their financial position and life cycle catalysts like a growing or shrinking household size,” he said.
Hamish Crawford, mortgage broker at Aussie Stones Corner, said many borrowers are increasingly focused on affordability rather than borrowing as much as possible.
“Previously, with a really hot market, probably the number one question was, 'What's my maximum borrowing capacity?' Whereas now, the question is probably more geared around, 'What can I afford?' and 'What's affordable to me?',” he said.
Higher living costs are prompting many buyers to think more carefully about what they can comfortably sustain over the long term.
Why taking a long-term approach could matter
While many buyers focus on when to enter the market, mortgage broker Jordan Hagicostas of Aussie Prospect says a property's long-term suitability can be an important consideration alongside short-term market movements.
“I think at the end of the day, if you're going to wait for a better time to buy, you're never going to know what that is,” Hagicostas said.
“No one is able to predict the market. Your personal circumstances are what's most important.”
According to Hagicostas, homeowners who make decisions based purely on recent price growth can sometimes overlook the practical realities of buying and selling property.
He recently worked with a homeowner who planned to sell after experiencing strong equity growth, only to discover she was no longer able to afford the type of property she wanted to buy next.
Individual circumstances will vary, but Hagicostas says the example highlights the importance of understanding borrowing capacity and future plans before making a decision to sell.
You might also be interested in: How to read the property market like a pro
Lawless noted that shorter ownership periods aren't always deliberate and can sometimes reflect changes in "household circumstances such as an impact to income or changed family structure”.
Beyond the sale price itself, homeowners may also need to factor in selling costs, moving expenses, legal fees and, depending on the state or territory, another round of stamp duty when purchasing again.
For buyers planning their next move, understanding these costs upfront may help avoid surprises later.
An Aussie Broker can help assess borrowing power before a property is listed and model what may be achievable based on current lending conditions.
How resale outcomes differed between houses and units
According to the report, houses generally recorded stronger resale outcomes than units during the March quarter, although outcomes varied significantly by location and property type.
Nationally, 98.1% of house resales generated a profit compared with 91.9% of unit resales. The median gain for houses was $440,000, while units recorded a median gain of $256,000.
The report also found resale outcomes varied significantly between markets, highlighting why buyers may benefit from considering local conditions rather than relying on national averages.
While the majority of sellers still recorded gains across all major capital cities, the differences highlight why buyers may benefit from considering local market conditions rather than relying on national averages.
Crawford says affordability pressures are prompting more buyers to consider townhouses and units in order to access preferred locations.
"It's probably the biggest shift I think I've seen, where people really wanted to buy a house and that was the Australian dream," Crawford said.
"But now, if they want to be in a particular area, they do need to consider a townhouse or unit option a lot more."
For buyers weighing up houses and units, affordability, lifestyle needs, location and borrowing capacity are likely to remain important considerations alongside potential resale performance.
Depending on individual circumstances and location, a townhouse or unit may provide a pathway into a preferred suburb while requiring a smaller deposit and loan than a comparable detached house.
Why today's buyers shouldn't assume the same outcomes
While the report highlights the strong gains many homeowners have achieved over recent years, Cotality also cautions that future market conditions may look different.
“The rate of profit- and loss-making sales does track changes in the housing market, but not perfectly and not immediately,” Lawless said.
“Given long hold periods for most homeowners, an inflection in the growth cycle will often have more of a short-term implication rather than a long-term impact on profitability.”
The report notes that many of the profitable resales observed in the March quarter benefited from strong housing value growth over previous years.
However, future outcomes may differ depending on market conditions, location and individual circumstances. Cotality also noted national home values rec
orded no growth in May, with declines already underway in Sydney and Melbourne.
However, Lawless says changing market conditions may also create opportunities for some buyers.
“As the housing market moves through a downturn, we could see better buying opportunities arising,” he said.
“The market now has more stock for sale, buyers aren't facing as much urgency as they were when the market was rising in value.”
While the report points to some signs of slowing market conditions, outcomes are likely to remain highly dependent on location and property type.
For buyers entering the market today, this serves as an important reminder that property values do not move in a straight line and future outcomes are never guaranteed.
Rather than focusing solely on future price movements, many buyers may benefit from concentrating on factors they can control, including affordability, savings, cash flow and long-term housing needs.
Why buffers may matter alongside a deposit
For buyers hoping to hold a property through different market conditions and life stages, financial resilience can be an important consideration alongside getting into the market in the first place.
While saving a deposit is often the primary focus for buyers, Hagicostas says maintaining a financial buffer after settlement can also be an important consideration.
“I always tell my clients that if they can, they should try to hold onto a buffer of at least 6 months of living expenses,” he said.
According to Hagicostas, buffers can help homeowners manage unexpected expenses, rising living costs and major life changes such as starting or growing a family.
“If you can avoid going down to your last dollar and maintain a strong cash reserve, it's going to save you from relying on consumer debt or home equity to fund shortfalls later on,” he said.
What this may mean for buyers
Among properties resold during the period analysed, longer ownership periods were generally associated with stronger resale outcomes.
Property ownership outcomes can vary considerably depending on location, market conditions, borrowing costs and personal circumstances.
However, the findings also highlight the importance of looking beyond property values alone.
Whether you're buying your first home, upgrading or considering your next move, understanding your borrowing capacity, maintaining a financial buffer and choosing a property that aligns with your longer-term goals may be just as important as trying to predict what the market does next.
An Aussie Broker can help you understand your borrowing power, compare loan options and determine what may be achievable based on your circumstances.