89.8% of properties that were resold over the first quarter of 2018 transacted at the same or a higher price than what they were purchased for.
While the majority of vendors selling homes are making a profit, the share of resales at a profit was the lowest it has been since October 2013. 
The 89.8% of properties resold at a profit was down from 90.1% at the end of the previous quarter and also down from 91.1% over the second quarter of 2017.
Capital city properties that are being resold remain more likely to sell for a profit than those in regional markets however, over the past three months the gap between the two broad regions has narrowed due to a decline in resales at a loss in regional markets and an increase across the combined capital cities.
Over the June 2018 quarter, 90.6% of capital city properties resold for a profit.
The proportion of profit-making resales across the capital cities was down from 91.3% the previous quarter as well as being lower than the 92.7% a year earlier.
In fact, the share of profit-making resales over the March 2018 quarter was the lowest since March 2013.
Across the combined non-capital city markets, 88.4% of resales were at a profit.
This figure has increased from 88.3% as well as being higher than the 88.2% a year ago.
Note that most of the strength in regional markets is being driven by areas close to capital cities such as Sydney, Melbourne and Brisbane, as well as some coastal markets, while mining regions continue to record heightened levels of resales at a loss.
Although the share of profit-making resales is easing, the majority of those selling properties are still realising a gross profit.
While losses are rising they remain in the overwhelming minority, at least at a national level.
Nationally, there was $15.683 billion worth of realised gross profits from resales over the June 2018 quarter.
The total value of these profits was substantially higher than the $469.431 million in realised gross losses from resales.
Of course, this is by virtue of the fact that only 10.2% of all resales were at a loss over the quarter.
Throughout the combined capital cities, the total value of resales at a profit was recorded at $12.145 billion.
The combined capital cities generated 77.4% of the total value of all profits over the quarter. 
The capital cities accounting for the greatest share of profits were: Sydney (41.4%) and Melbourne (35.4%).
By comparison, the total value of losses over the quarter across the capital cities was $262.482 million which indicates that capital cities generated 55.9% of the total value of losses nationally over the quarter.
The capital cities generating the greatest share of losses by value were: Perth (41.8%) and Sydney (20.1%).
Across the combined regional markets, the total value of realised profits from resales over the quarter was $3.538 billion.
The regions with the greatest share of these profits were: Regional NSW (49.5%) and Regional Qld (26.3%).
At the same time, the value of realised losses from resales was recorded at $262.482 million.
The regions with the greatest share of losses were: Regional Qld (45.6%) and Regional WA (34.9%).
Houses have consistently experienced a higher proportion of resales at a profit than units.
This can be linked to a number factors such as: Australians generally having a preference for detached housing as opposed to attached, a house typically has a greater underlying land value than a unit which is what the overall value is largely derived from and unit markets can be more prone to oversupply than house markets.
Nationally, 91.5% of houses and 85.2% of units resold at a price higher than the previous purchase price over the June 2018 quarter.
The 91.5% of houses reselling at a profit was down from 91.8% the previous quarter and 92.6% a year earlier.
In fact the share of houses resold at a profit was the lowest it had been since February 2014.
The 85.2% of units resold at a profit was lower than the previous quarter (85.5%) as well as being lower than the 87.3% a year earlier.
The share of unit resales at a loss was last as high as it is currently in August 2013.
Throughout the combined capital city housing markets, 92.8% of houses and 85.7% of units resold for a profit over the second quarter of 2018.
For houses, the proportion of profit-making resales was down from 93.5% the previous quarter and also down from 94.5% a year earlier.
In fact the share of capital city houses resold at a profit hasn’t been this low since August 2013. 
The 85.7% of capital city units resold at a profit was down from 86.2% the previous quarter as well as being down from 88.3% a year earlier.
The share of capital city units resold at a profit hasn’t been this low since March 1999.
The proportion of houses resold at a profit across the combined regional markets was recorded at 89.7% at the end of the June 2018 quarter.
The share of houses resold a profit was higher than the 89.5% at the end of the previous quarter and also higher than the 89.6% over the second quarter of 2017.
Of all units resold across the combined regional markets over the June 2018 quarter, 83.9% sold for a profit.
The 83.9% of resales at a profit over the quarter was slightly down on the previous quarter (84.2%) but remained higher than a year earlier (83.7%).
The instances of loss-making resales increased over the June 2018 quarter relative to the March 2018 quarter in all capital cities.
When comparing loss-making resales to a year earlier, Hobart and Canberra were the only two capital cities in which the share of resales at a loss was lower over the year.
The share of properties resold at a loss over the second quarter of 2018 across individual capital cities was recorded at: 3.2% in Sydney, 4.7% in Melbourne, 10.5% in Brisbane, 9.4% in Adelaide, 
30.6% in Perth, 2.6% in Hobart, 47.6% in Darwin and 8.5% in Canberra.
The share of resales at a loss in Sydney is the highest since February 2014, in Brisbane the share of resales at a loss is the highest since November 2014.
Both Perth and Darwin have a historically high share of resales at a loss.
In the non-capital city markets, the proportion of resales at a loss was lower over the quarter and year in regional areas of NSW, Vic and Tas but higher elsewhere.
As at the end of June 2018, the proportion of resales at a loss across the regional markets were recorded at: 3.9% in NSW, 4.3% in Vic, 19.0% in Qld, 22.9% in SA, 41.9% in WA, 9.0% in Tas and 23.3% in NT.
from Property UpdateProperty Update https://propertyupdate.com.au/national-overview/
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