In contrast to the recent media hyperbole about possible falls in property values around the country, some new figures from Corelogic have suggested that the vast majority of people selling property in 2022 are still reaping substantial profits despite the slight slowdown in activity.
The latest edition of Corelogic’s ‘Pain & Gain Report’, a quarterly analysis of property resales across Australia to determine the level of profit achieved, showed that of 106,000 property resales in the first quarter of this year, 93.7 per cent sold at a profit. This was a drop of just 0.3 per cent from the 94 per cent recorded in the December quarter last year.
A few interesting statistics emerged from the latest Corelogic data:
- The median gain on property sales in 2022 was $290,000, whilst the median loss was $33,000.
- Not surprisingly, those who held onto the property for longer periods before reselling tended to achieve higher profits. For example, those who sold after 30-plus years had a median profit of $781,750.
- The median period of ownership for profitable property sales was 9 years.
- Regional Victoria recorded an impressive 99.4 per cent rate of profitable sales, with Bendigo and Geelong leading the way for the state.
- A total of 96.2 per cent of sales on houses were profitable, compared with 88.3 per cent of sales on units.
Of course, if you’re considering selling a property in 2022 and keen to ensure that you don’t join the 6.3 per cent who didn’t make a profit, one of the best moves you can make is to talk to an experienced and objective Advocate who can share their insights and guidance.
Why not give one of the team at Ian Reid Buyer and Vendor Advocates a call today on 9430 0000 to discuss your options?
You’ll also find lots of helpful tips on selling in our free booklet, “Fatal Real Estate Traps Exposed”.