Homeowners making hundreds a week even without tenants

Brisbane: Homeowners in Australia are really cashing in these days. They’re making hundreds of dollars each week, even if they don’t have tenants. It’s pretty wild!

In the last quarter, the average profit from selling a property hit a whopping $295,000. That’s based on around 95,000 sales. Can you believe it?

This is the highest profit margin CoreLogic has seen since they started tracking these numbers back in the mid-90s. Over nine years, that breaks down to about $32,700 a year, or roughly $630 a week.

Interestingly, that’s almost the same as the national median rent, which was $627 a week earlier this year. So, homeowners are doing quite well!

While not everyone is making a profit, only about five percent of sellers are losing money. That’s the lowest it’s been in over 15 years. The median loss is still around $40,000, though.

Overall, sellers made nearly $34 billion in profits, which is way more than the $270 million lost. It’s a good time to be a homeowner!

There’s a strong demand for housing, so many sellers are holding onto their properties. But some folks are struggling with their mortgages and have to sell, according to CoreLogic’s Eliza Owen.

She mentioned that while some are doing great, there are still areas where sellers are feeling the pinch. Interest rate hikes might be causing some of these losses, especially for those who haven’t held onto their properties for long.

Brisbane is leading the way, with 99.4 percent of properties resold for a profit, up from 97.4 percent last year. However, places like Darwin and Melbourne are seeing more loss-making sales.

Also, units are three times more likely to sell for less than their purchase price compared to houses. Houses are still the big winners, with a median profit of $345,000 versus $200,000 for units.