Australian property owners are seeing more boosts to their equity, with new figures showing that the vast majority of dwellings resold in the March quarter delivered a profit.

According to the latest Pain & Gain Report from Cotality, 94.9% of resales in the March quarter achieved a nominal gain – meaning they sold for more than their previous purchase price.

While this was unchanged from the December quarter, it’s still a historically high rate of profitability. Nationally, the median profit earned by vendors was $305,000, although this marked a slight drop from $310,000 in the previous quarter. This was the first decline in median resale profits in two years.

 

Capital cities vs regions

Profitability remained higher in regional areas than in capital cities – a trend that has been in place since 2019. In the March quarter, 96.5% of regional resales were profitable, compared to 93.9% in capital cities.

This reflects the continued price growth and popularity of regional lifestyle areas, particularly since the pandemic. Regional hotspots like Busselton in Western Australia, and Noosa and the Sunshine Coast in Queensland, recorded some of the strongest profit increases over the past five years.

 

Houses vs units

As in previous quarters, houses continued to outperform units.

Cotality found that 97.2% of house resales delivered a profit, compared to 90.1% of unit resales. Median profits from houses were also significantly higher, at $355,000 compared to $205,000 for units.

However, unit profitability did show signs of improvement, rising slightly from 89.9% in the December quarter.

 

Market outlook

The report noted that profitability rates closely mirror national home value movements. With home prices rising by 0.9% during the March quarter, and a further 1.3% gain recorded in the three months to May, Cotality expects profitability to strengthen again in the June quarter.

For sellers holding onto their property for the long term, the outlook remains positive. Nationally, the median hold period for profitable sales was 8.9 years – reflecting the benefits of long-term ownership.

If you’ve built up equity in your property, you could use this to fund the deposit on an investment property or renovations. Get in touch to find out how.

Buy-now-pay-later (BNPL) services have recently become regulated under the National Consumer Credit Protection Act 2009. This change means BNPL providers must now hold an Australian credit licence and comply with responsible lending obligations, just like banks and other lenders.

The reform was introduced to address concerns about financial hardship and consumer harm in the BNPL sector. Under the new rules, BNPL providers are required to assess a consumer’s ability to repay before approving credit. This includes making reasonable inquiries into a person’s income, expenses and existing debts to help prevent unaffordable lending.

The new rules also place limits on how BNPL fees are structured. Providers must clearly disclose all charges, including late fees and account-keeping fees, to help consumers make informed choices.

How BNPL can affect your credit score

Another major change is the way BNPL activity may now affect your credit report. Some BNPL providers will start reporting credit checks and repayment histories to credit reporting agencies. This means that missed or late BNPL payments could negatively impact your credit score, while consistent, on-time repayments might have a positive effect.

Over time, these new reporting rules could make BNPL accounts as visible to lenders as personal loans and credit cards. So, if you plan to apply for a home loan or any other type of credit in future, how you manage your BNPL accounts could be taken into consideration.

If you’re using BNPL services, it’s crucial to:

Dwelling prices continue to trend upward across the nation, with the latest Home Value Index from Cotality (formerly CoreLogic) showing steady momentum in nearly all capital cities. The national median price rose 0.5% in May, contributing to a 1.7% increase over the first five months of 2025.

This growth has been broad-based, with every capital city recording at least a small rise since January. However, some cities are clearly outperforming the rest.

 

Perth leads the way

Perth recorded the strongest annual growth in property prices, with the city’s median price rising 8.6% in the year to May. This surge was due to robust demand, strong migration and tight housing supply. Perth’s median dwelling value is now $814,000.

Other strong performers during the year to May included:

By contrast, Sydney and Melbourne had weaker years:

 

Why are prices rising?

The short answer is that supply is failing to keep up with demand, according to Cotality.

On the supply side, there continues to be an undersupply of new housing stock.

On the demand side, buyer confidence has lifted due to interest rate cuts in February and May, and the prospect of more rate cuts later in the year. Furthermore, increased migration is pushing up the number of buyers in the market.

Interestingly, Cotality noted that the gap in growth rates between capital cities has narrowed to just 9 percentage points – the smallest spread since early 2021. This suggests the market is moving in a more synchronised fashion across the country.

Contact me if you’d like help understanding what these trends mean for your property plans – whether you’re looking to buy, sell or invest.

As we near the end of the 2024-25 financial year, the Australian Taxation Office (ATO) has shared tips for property investors preparing their tax returns.

These guidelines are designed to help investors avoid common errors and make the most of their entitlements.

 

Understand what you can and can’t claim

Not all property expenses are immediately deductible, according to the ATO:

 

Capital improvements and borrowing costs

Structural upgrades and renovations are generally claimed over 40 years at 2.5% per year, according to the ATO.

If your borrowing costs (such as loan establishment or mortgage registration fees) exceed $100, you’ll need to spread those deductions over five years.

 

Other essentials to get right

 

The ATO has flagged these areas because they often trip up investors, and has warned: “Rental property income and deductions are a key focus area again this tax time.” It is a good idea to speak to your financial adviser or accountant if you have any questions.

For buyers planning to purchase a property, conditional approval can be a smart first step. It gives a clear idea of borrowing capacity, and shows agents and sellers that a buyer is serious and financially prepared.

Conditional approval doesn’t guarantee the final loan, but it does provide confidence to bid or make an offer – especially in competitive markets.

Is pre-approval and conditional approval the same thing?

Yes – in most cases, pre-approval and conditional approval are interchangeable terms. Both refer to the lender giving an initial ‘yes’, based on a preliminary assessment of the borrower’s financial situation. It’s important to note that this approval is conditional – it’s not a binding loan offer, and final approval depends on several factors being confirmed.

What are some reasons why someone might be declined conditional approval?

Lenders assess a range of criteria when reviewing a conditional approval application. Common reasons for a decline include insufficient income, unstable employment, a poor credit history, high existing debt or lack of genuine savings. In some cases, the documentation provided may be incomplete or raise concerns. It’s a good idea for buyers to have a mortgage broker review everything before submitting an application.

What happens after conditional approval?

Once conditional approval is granted, the buyer can start seriously looking at properties – knowing roughly what they can afford. After finding a suitable property and having an offer accepted, the lender will assess the details of that property, conduct a valuation and verify all remaining documentation. If everything checks out, the lender will issue unconditional approval – meaning the loan is formally approved.

Conditional vs unconditional – what are the key differences?

Conditional approval is an early indication that a buyer qualifies for a loan, based on initial information. It comes with conditions that must be met before the lender commits to funding the purchase. Unconditional approval, on the other hand, is where the lender agrees to provide the loan with no further checks required.

Green loans are a type of finance designed to encourage environmentally friendly choices. They can help homeowners and property investors fund energy-efficient upgrades – while potentially benefiting from lower interest rates and special lending terms.

These loans are offered by a growing number of lenders who want to support sustainable living. While the features vary between institutions, green loans are typically used to purchase and install eco-friendly systems such as:

In some cases, green loans are structured as separate personal loans with discounted rates. In others, they may be bundled with a home loan package or offered as a top-up to an existing mortgage. The key requirement is that the funds must be used specifically for approved green upgrades – and documentation is usually required to verify installation and compliance.

Green loans can be an attractive option for homeowners and investors who want to reduce their long-term energy bills and environmental footprint. Some lenders also provide green home loans for properties that meet certain environmental standards – such as a minimum NatHERS rating or a seven-star energy efficiency rating – giving eligible buyers access to lower rates or fees on their home loan.

It’s important to note that eligibility criteria and approved products can differ significantly between lenders. What qualifies as a green upgrade with one lender may not be eligible with another. 

For homeowners and investors alike, green loans can provide a financial incentive to make sustainable improvements – creating homes that are not only cheaper to run, but also more attractive to tenants and future buyers.

When buying property, most contracts require a 10% deposit to be paid at the time of exchange. But what if the buyer doesn’t have cash available straight away? That’s where a deposit bond can come in.

A deposit bond is a financial guarantee provided by an insurer. It acts as a substitute for the cash deposit at exchange. Instead of transferring money, the buyer gives the seller a deposit bond certificate. This confirms that the bond provider will pay the deposit if the buyer fails to complete the purchase – offering security to the seller.

Deposit bonds are not loans. There’s no interest payable, and the buyer doesn’t have to repay the bond amount (unless they default on the contract). Instead, there’s a one-off premium, which is usually based on the deposit amount and the term of the bond. They are available through some lenders or insurers.

These bonds are most commonly used by buyers who have funds tied up in assets – for example, those waiting for proceeds from the sale of another property or preferring to keep their deposit in an offset account until settlement. First-home buyers may also use them if they have a formal loan approval but not yet the liquid funds for the upfront deposit.

The term of a deposit bond generally matches the expected settlement date – anything from a few weeks to a few months. It’s important that the bond remains valid through to settlement, otherwise the seller may request alternative security. For off-the-plan purchases, longer-term bonds (sometimes up to 48 months) may be available.

Not all vendors or agents accept deposit bonds, so it’s essential for buyers to check before committing. However, when accepted, deposit bonds can be a flexible and convenient option – especially for buyers who are financially sound but temporarily short on cash.

One of the first questions buyers often ask is how much they need for a home deposit. It’s a simple question with a slightly more complex answer – because the amount buyers need depends on their circumstances, goals and lender.

The standard benchmark for a home deposit is 20% of the property’s purchase price. So, if someone was buying a $700,000 home, that would mean a $140,000 deposit. But not everyone needs to, or is able to, reach that 20% benchmark.

Some lenders will accept a smaller deposit – even as low as 5%. However, buyers who go down that path will generally need to pay lenders mortgage insurance (LMI). This is a one-off premium that protects the lender if the borrower defaults on their loan. LMI is often a five-figure sum, depending on the size of the loan and the deposit gap.

First-home buyers may also be able to tap into government schemes. The First Home Guarantee, for example, lets eligible buyers purchase with as little as 5% deposit – without paying LMI. There are eligibility criteria, but it can be a fantastic option for those who qualify.

Keep in mind that the deposit isn’t the only cost to budget for. Buyers will also need to cover stamp duty (unless they’re exempt), legal fees, building and pest inspections, and moving costs. It’s important for buyers to have a buffer beyond just the deposit amount, so they don’t stretch themselves too thin.

Ultimately, while a 20% deposit is the standard option, it’s not the only way forward. With the right strategy and guidance, buyers can get into the market with less – and still put themselves in a strong financial position.

Weddings are special, but they’re not cheap. According to a Moneysmart survey, the average Australian wedding costs $36,000, which is why many couples turn to outside funding sources. 60% of respondents said they got a loan, while 18% used their credit card.

Here are six ways you could cover the costs of your big day.

  1. Personal savings

The most straightforward option is to save up and pay cash. While this requires discipline and may delay your wedding plans, it also means you avoid debt and interest costs. You’ll also feel less financial pressure once the honeymoon is over.

  1. Personal loan

A personal loan offers predictable repayments and can usually be repaid over one to seven years. Many couples choose this option as it provides a lump sum upfront. Just make sure the repayments fit within your budget – and speak to me to ensure you get a competitive rate.

  1. Credit card

A credit card can be convenient for covering deposits or last-minute expenses, especially if you have a card with interest-free days. However, credit cards typically have high interest rates, so you should be very careful about choosing this option and carefully read the terms and conditions of your card.

  1. Help from family

Some couples receive financial support from parents or relatives. This can come in the form of a gift or an informal loan. If it’s the latter, it’s a good idea to document the arrangement to avoid misunderstandings later on.

  1. Buy now, pay later

Buy-now-pay-later (BNPL) services can be a risky way to fund an entire wedding, although may be suitable for smaller purchases like attire or decorations. Keep in mind that when you use BNPL, missed payments can lead to penalty fees and affect your credit score.

  1. Using equity

If you already have a home loan, you may be able to access equity by refinancing. 

Consider: Downsizing the event

If you’re struggling to fund your ideal wedding, consider trimming the guest list or opting for a simpler venue. A more affordable celebration can still be memorable, and may help you start married life with less financial stress.

Final thought

However you pay for your wedding, it’s important to avoid overcommitting. A beautiful wedding doesn’t have to come with a hefty price tag. Careful planning, a clear budget and honest conversations with your partner will help you enjoy the day without worrying about the long-term financial impact.

If you’re interested in financing your wedding through the use of a personal loan or accessing your home equity, please contact me. I’ll compare a range of loans, outline the costs involved and manage your loan application for you.

Conveyancing is the legal process of transferring property ownership from one party to another. Whether you’re buying or selling a home, a conveyancer helps ensure that all legal requirements are met, minimising risks and ensuring a smooth transaction.

A conveyancer’s core responsibilities include:

 

Conveyancers vs solicitors

Conveyancers and solicitors can both handle property transactions, but their fees and scope of service differ.

Conveyancers specialise solely in property law and typically charge lower fees.

Solicitors have broader legal expertise, which can be useful if the transaction is complex, such as involving disputes, tax implications or estate matters. However, this expertise usually comes at a higher cost.

 

How much does a conveyancer cost?

The cost of conveyancing varies depending on the property’s location, the complexity of the transaction and the conveyancer’s experience. Generally, conveyancing fees range from $500 to $2,500, covering both professional service fees and disbursements (such as property searches, title registration and government charges).

 

How conveyancers help buyers

A conveyancer ensures buyers:

 

How conveyancers help vendors

For sellers, a conveyancer:

 

How to find a good conveyancer

Here are some key questions to ask when researching and comparing conveyancers: