Number of Australian properties resold at a loss climbs to six-year high

PHOTO: FOMO has given way to FONGO (fear of not getting out) in Australia’s housing market, analysts say ABC News: Liz Pickering

Twelve per cent of Australian properties were resold at a loss — compared to what the sellers had paid for them — in the first three months of 2019.

It was the highest level of loss-making sales in six years and another sign of weaker property market conditions, according to the latest “Pain and Gain” report by property analysts CoreLogic.

This was also a marked increase from 10.5 per cent (in the December 2018 quarter), and 9 per cent (in the March 2018 quarter).

“Australia had a total of $486.8 million in realised gross losses from resales over the March quarter, with highest share of losses nationally seen in Perth (24.8pc) and Sydney (19.9pc),” CoreLogic analyst Camer Kusher wrote in his report.

On the flipside, $14.3 billion was the total gross profit earned by owners reselling their properties across the nation.