In late 2025, Perth remains a seller-friendly city, despite news reports of declining profit margins for real estate sellers in several regions. Vendors continue to benefit from few active listings, quick transaction times, and strong price movement, especially in the unit and middle-market segments.

However, the nature of seller “wins” has changed: margins in some areas are decreasing, seller rivalry for the ideal buyer is becoming more complex, and effective pricing and marketing are now more critical than ever to maximise results.

Key short points:

• Perth’s active listings are at their lowest levels in years (fewer than 3,000 in the spring of 2025), boosting seller price power and reducing supply.
• In 2025, rising demand and affordability-driven migration drove median home and flat prices to all-time highs. Units have driven growth in percentage terms.
• The need for pre-listing preparation is increased by the incredibly short sale periods (units in several suburbs sell in less than two weeks).
• Rising holding and remodelling costs, higher stamp duty and transaction costs in some segments, changing buyer expectations, and the difficulty of maintaining rapid past gains are all factors contributing to slowing headline profit margins.  
• However, sellers can still make significant absolute gains by using focused tactics.
• Despite a minor slowdown in the rate of profit-making resales from the beginning of the year, Australian real estate sellers saw significant gains in the June quarter.
• In the three months leading up to June, 94.8% of transactions showed a minimal gain, according to a report examining about 97,000 resales during that period.
• This represents a minor drop from 95.0% in the March quarter, although it is still higher than the decade-average of 91.5%.
• The median nominal gain from resales increased to a new record high, while median losses decreased, despite the modest decline in profitability.
• In the June quarter, the median nominal gain for sellers across all profit-making resales nationwide was $315,000.
• Compared to the previous quarter’s $305,000 and the decade-average of $250,000, this was a record high.
• From $44,000 in the March quarter and a peak of $45,000 in the December quarter of the previous year, the national median loss decreased to $42,000.

This blog explores why sellers are still winning in Perth, how margins are changing, where sellers should focus to preserve gains, and how Bargoti Real Estate can position vendors to get the best outcome.

More sellers incurred losses despite stronger selling conditions

1. The percentage of sales that resulted in a loss rose from 5.0% in the March quarter to 5.2% in the June quarter. Resales of Sydney and Melbourne units, which accounted for over 2,500 transactions sold at a loss, nearly offset that rise.

2. Several variables contribute to the increase in loss-making activities in these domains. A large portion of these losses is concentrated in markets that have yet to recover to their previous highs.  

3. Compared to the decade average, one-quarter of all losses during the quarter were attributable to the top 10 markets for loss-making resales. As things improve, some owners may decide to sell after holding for a long time to reduce their losses.  

4. As national home values increased 1.3% between June and August of this year and fewer suburb-level markets experienced quarterly declines across Australia, the probability of a loss-making resale has generally decreased.

Market snapshot: Perth (late 2025)

1. Perth’s spring 2025 market shows a strong seller environment:

Over the winter and into the spring of 2025, Perth’s active listings fell below 3,000, a record low that has been a significant factor in price increases and quick sale times.

2. According to REIWA’s statistics, the number of current listings dropped precipitously, which made the market extremely competitive. Both apartments and homes are selling swiftly; in many suburbs, the median days-to-sell for both reached single digits (about 9 days in September 2025).

3. Quick sales advantage sellers and shorten the negotiation window. In 2025, Perth’s median home values hit all-time highs, with certain months seeing double-digit annual rise; units, in particular, had significant percentage gains.  

4. Perth was one of the capital city marketplaces with the fastest growth rates in mid- to late-2025. Key demand-side factors include affordability relative to the East Coast, population flows and return migration to WA, interest rate reductions in 2025 (followed by several earlier easing measures), and improved borrowing capacity.

5. Tight supply + solid demand = sellers retain substantial negotiating leverage. But the environment is more complex than “prices always rise” — margins are situational and depend on preparation, segment and suburb.

Regional markets maintain edge, but gap narrows.

1. In terms of profitability, regional Australia has been outperforming capital cities for almost five years straight. The June quarter saw a slight growth of 96.4% in regional resales and 93.9% in capital cities.

2. Regional South Australia led the 62 regional LGA markets with a 100% profit-making resales rate among those examined. Six of the nine capital city LGA markets that achieved 100% profitability were in Adelaide. During the June quarter, the profit differential between capital cities and regions continued to narrow.

3. Capital city values increased by 1.9% in the three months leading up to August, surpassing regional Australia’s 1.6% increase, suggesting that the gap will continue to narrow.

4. Brisbane had the most significant nominal gain from resale at $400,000 and the highest rate of profit-making sales among the capital cities at 99.7%. A 99.1% profit margin in Adelaide and a 98.0% profit margin in Perth came next.

5. Conversely, Darwin experienced the most significant increase in profitability among recent capital gains, despite the highest percentage of sales resulting in losses (20.6%). The next-highest percentage of sales that resulted in a loss was 10.6% in Melbourne, 7.7% in Sydney, 7.2% in Hobart, and 6.7% in the ACT.

Key findings for Pain & Gain, June Quarter 2025

• The percentage of profitable resales decreased from 95.0% in the March quarter to 94.8% in the three months leading up to June, although it is still higher than the 91.5% average for the decade.
• Although the profitability rate decreased, the median nominal gain from resales increased to a record $315,000, and the median loss decreased to $42,000.
• The sea-change region of Kiama on the south coast of New South Wales has the most significant nominal gain of any LGA market in Australia, with a median gross selling profit of $758,000.
• Gains in the June quarter totalled $36.6 billion, which was higher than $33.3 billion in the March quarter and $33.8 billion in the previous year.  
• Nevertheless, the aggregate loss for sellers increased to $292 million from $265 million in the prior quarter, reflecting higher loss-making resales.
• For the third straight fiscal quarter, Brisbane was the most profitable capital city, with 99.7% of resales generating a small profit.  
• Additionally, the most significant median nominal gain of $400,000 was recorded by sellers in Brisbane.
• In the June 2025 quarter, houses continued to outperform units; 97.2% of house resales generated a profit, compared to 89.8% of unit sales.
• Although the gap is closing, regional Australia’s nominal growth rate still outpaced that of the metropolis.  
• Regional resales improved slightly to 96.4%, up from 96.6% in the prior quarter. Over the course of the quarter, the combined capital’s profitability rate remained consistent at 93.9%.In June, hold times for resales decreased somewhat to 8.7 years.  
• With a higher-than-average loss but still respectable nominal resales gains of $175,000, two- to four-year hold periods were the most prevalent, accounting for 15.3% of resales.

Why sellers still have the upper hand

Several interlocking reasons explain why sellers continue to win:

• Structural supply shortage
• Improved buyer capacity after rate cuts
• Affordability relative to East Coast capitals
• Rapid sale timelines
• Shifting segment leadership

1. Until 2025, Perth’s active market inventory was abnormally low, which meant buyers had fewer options and greater competition for each available property. Days-on-market decreases, and bidding pressure increases with low listings.

2. In 2025, interest rate easing gave many purchasers more borrowing capacity. Competition increases as more buyers meet mortgage serviceability standards, particularly in the mid- and lower-priced ranges. Rate reductions were associated with renewed demand by Reuters and other experts.

3. Since the market shift in 2023–2024, Perth’s relative affordability has continued to draw in both local and national buyers. That inflow supports higher clearance rates and higher offers in desirable areas.

4. Faster sale periods can produce bidding dynamics that favour sellers (multiple-offer situations, auction strength) and lower the chance of the market turning while a property is listed.

5. Due to the robust unit market boom, owners of high-quality townhouses and flats are now in a strong selling position. The buyer pool is expanded by unit affordability, which draws downsizers and first-time homebuyers.

What “slowing profit margins” actually means for Perth sellers

When analysts say “slowing profit margins,” they’re usually referring to percentage growth slowing from previously high rates — not that sellers can’t make money. For Perth, consider:

• Base effects
• Higher holding/upgrade costs
• Transaction costs & taxes
• Buyer expectations
• Micro-market variance

1. Naturally, percentage growth levels off after significant advances in prior years. Although it is difficult to replicate a 40% growth, a 5–10% yearly increase from a higher base still constitutes a respectable cash gain. (For instance, 10% of $700k is $70k.)

2. Over 2023–2025, renovation, compliance, council approvals, insurance, and materials costs increased, reducing net seller profit if they performed extensive pre-sale work. Net proceeds are reduced by conveyancing costs, capital gains tax consequences, agency costs, and stamp duty (if applicable).

3. Expectations about conditions and inclusions have changed as a result of faster marketplaces and better-informed consumers. Price reductions or no-sale results can lead to a loss of profit for sellers who overprice or underprepare.

4. While some price bands and suburbs—such as overheated tiny pockets or top-tier prestige pockets—experience slower margin growth, others—such as regional centres or undervalued suburbs—continue to see robust improvements.

5. Although sellers continue to realise significant absolute gains, they must be strategic about timing, pricing, presentation, and selling channels to maintain percentage margins.

Price bands & suburb dynamics: where gains are most substantial (and why)

The Perth market is inconsistent. Vendors can make better timing and marketing decisions when they know where margins are still strong.

1. High-growth pockets

• Family houses in the middle price range ($500k–$1m) are in high demand from families and first-time homebuyers seeking affordability; multiple-offer situations and quick turnover are the norm.  
• According to REIWA data, the medians for these segments increased significantly in 2025.
• As more buyers moved into apartments due to affordability, units and townhouses saw the greatest percentage growth in 2025, resulting in significant increases in median unit prices.

2. Slower/variable pockets

• High-end, exclusive suburbs: These may fall behind as buyers get wary or when inventory rises.  
• Interstate capital flows and macro signals have a greater impact on luxury markets.
• Overbuilt micromarkets: Areas with an excess of recent supply, such as specific apartment complexes, may experience longer days-on-market and downward price pressure.

3. Suburb selection strategy for sellers

• Assign the property’s features to the appropriate buyer group, such as first-time homebuyers versus downsizers, families versus investors.  
• Properties aimed at the demand-driven market sector will maintain profits.
• Although sellers in high-growth areas have more clout, they still need to offer competitively to get top pay.

The seller playbook: 12 tactical steps to preserve margins in a fast-moving Perth market

This section is practical — what sellers should do to keep more of the upside.

• Pre-listing market audit (data-led)
• Fix the must-fix items (not cosmetic bloat)
• Smart staging & photography
• Price to create momentum (not to leave money on the table)
• Choose the right selling channel: auction vs private treaty vs tender
• Time the market within reason
• Marketing velocity & urgency
• Use data-driven negotiation scripts
• Encourage competitive tension
• Limit conditional offers where possible
• Give buyers easy clarity on running costs
• Post-sale handover excellence

1. Obtain an accurate, up-to-date, comparable analysis (last 3 months) that considers your suburb’s days on market and price momentum. Use local agency statistics and REIWA as your primary sources of information.

2. Give structural and compliance (safety, plumbing, and electrical) repairs top priority. Cosmetic staging can be beneficial, but only after addressing underlying problems.

3. Invest in expert staging, top-notch photography, and virtual tours; in a market where buyers have short attention spans, a property’s ability to generate bidding competition is primarily determined by first impressions.

4. Consider pricing tactics that encourage early inquiry and scenarios with multiple offers. Working with an agent, determine a price that strikes a balance between the dangers of overpricing, which can prolong the sale, and underpricing, which can attract other bidders.

5. Strong in situations where there is a lot of demand and you desire an open bidding procedure. Performs well in suburban areas with many rival bidders.  

Better when you have solid comparative data and when you are sensitive to price. Helpful for regulated negotiation windows and sealed proposals.

6. Based on comparable results and local buyers’ appetite, your realtor should suggest the channel.

7. Although buyer interest is usually higher in the spring, heads-on-beds can be improved by micro-timing (e.g., listing after adjacent comparable stock sells).

8. Front-load marketing: to build momentum for the open-inspection weekend or weekends, develop a powerful 7–14 day preview campaign that includes social media, email databases, and targeted advertisements to buyer pools.

9. Give the negotiating team access to buyer profiles and recent sales data so they can swiftly qualify offers and pursue the best terms (deposit amount, settlement flexibility).

10. To preserve competitive tension, organise open houses, establish offer deadlines as necessary, and collaborate with buyers’ agents.

11. Aim for pre-approval or minimise conditional exposure by disclosing and keeping inspection windows short. Conditional offers (subject to finance/inspection) are frequently made.

12. Reduce buyer uncertainty and encourage quicker, cleaner contracts by providing unambiguous documents, such as utility averages, council rates, and strata fees. Fulfil settlement and handover commitments to preserve agent reputation and referrals, which are crucial for word-of-mouth and repeat business.

Risks sellers must watch (and how to mitigate them)

1. Risk: A sudden influx of comparable stock

Mitigation: Stagger listing timing, monitor upcoming developments, and emphasise unique selling points in marketing.

2. Risk: Rising seller costs (renovation overspend)

Mitigation: Cost–benefit on improvements; focus on high return items: kitchen refresh, neutral paint, landscaping.

3. Risk: Conditional financing fall-throughs

Mitigation: Encourage buyer pre-approval and evidence of deposit funds; require finance clauses to be reasonable and set offer deadlines that allow verification.

4. Risk: Over-reliance on digital ads without local buyer outreach

Mitigation: Combine paid marketing with direct contact to local buyer pools and buyers’ agents.

5. Risk: Mispricing due to lagging comparables

Mitigation: Use rolling 30–90 day sales and agent networks for the most recent evidence; price ranges (three-point) can help.

Case studies & worked examples

Example 1 — Family home, Mid-price band (Perth outer suburb)

• Property: 3-bed, 2-bath house, listed price guidance $700k–$770k. Market context: mid-priced band with strong demand from families.
• Strategy: Pre-list minor works ($6k), staging ($3.5k), aggressive two-week marketing campaign, auction day with vendor reserve at $730k.
• Outcome (plausible based on market dynamics): 10 registered bidders, winning bid $775k — net uplift vs conservative sale estimate after costs ≈ $45k.
• Why it worked: tight supply, well-targeted buyer pool, strong staging, and auction competition.

Example 2 — Inner-city unit

• Property: 2-bed modern apartment, central suburb, strong unit demand. Pricing guidance: $480k–$530k.
• Strategy: Private treaty with active buyer outreach to downsizer & investor lists; emphasis on strata disclosure (low vacancy, strong rents).
• Outcome: Sold at $525k within 7 days after receiving two strong offers.
• Why it worked: unit market strength, clear rental case, fast negotiation. These examples mirror the market behaviour reported in REIWA and market commentary in late 2025.

FAQs sellers ask (with clear answers)

1. Is now a good time to sell in Perth?

For many suburbs, yes — supply is tight and buyer demand is strong in late 2025. However, evaluate your suburb’s microdata and personal timelines. Agents like Bargoti can give granular advice based on recent sales.

2. Will I lose money after agent fees and taxes?

Most vendors in 2025 still achieve substantial net gains vs purchase price, but holding/renovation/transaction costs must be modelled. Use a net-proceeds calculator before committing.

3. Should I renovate before sale?

Only if the renovation yields a clear positive ROI (kitchen refresh, landscaping), avoid overcapitalising. Prepare a cost plan and speak to your agent.

4. Auction or private treaty?

Auction suits high-demand suburbs to capture bidding; private treaty works when you want controlled negotiation. Choose based on the local buyer’s appetite — your agent can recommend.

Bargoti Real Estate action plan: converting seller advantage into consistent client wins

Bargoti Real Estate (as a Perth-based agency known locally) should focus on the following to ensure sellers maximise margins while the market remains fast-moving.

1. Market messaging & positioning

• Use REIWA and local Cotality/CoreLogic snapshots in marketing packs to demonstrate low listings and strong sale speeds.
• Cite recent stats in property appraisal documents.
• Produce a “Why now — Perth market snapshot” explainer for vendor onboarding that clarifies why supply dynamics favour sellers and how Bargoti will protect margins.

2. Tactical offerings for sellers

• Offer a fixed-price pre-list audit, including a structural checklist, a cost fix list, and a staging plan.
• Staging & photography bundle — use preferred partners for fast turnarounds.
• Maintain segmented buyer databases (first-home buyers, investors, downsizers, interstate movers) and run micro-campaigns pre-list.
• If running auctions, provide vendor training (what to expect) and buyer qualification steps to ensure competitive, enforceable bidding.

3. Pricing methodology

• Move away from single-point pricing: present vendors with a 3-point scenario (conservative sale range, likely outcome, stretch target) grounded in the last 8–12 weeks of sales.
• This reduces unrealistic expectations and improves decision-making.

4. Sales operations & negotiation

• Equip negotiators with real-time suburb dashboards (active listings, recent sales, days on market) so offers can be evaluated instantly.
• Use standardised negotiation scripts that nudge buyers toward stronger terms (e.g., by encouraging larger deposits and shorter settlement windows).

5. Client communications & transparency

• Provide transparent fee breakdowns and a projected net proceeds calculator (including stamp duty and other fees) for every vendor, to reduce surprises and build trust.

6. Local partnerships

• Build relationships with mortgage brokers to fast-track buyer pre-approvals and with trusted trades to secure quick pre-sale fixes.

Conclusion & action checklist

Record-low listings, quick sale times, and increased buyer borrowing capacity following rate cuts continue to give Perth sellers several benefits in late 2025. “Slowing margins” is a warning term that refers to sluggish percentage gains from historically high rates, not to sellers being unable to earn outstanding dollar returns. Preparation, precise pricing, and focused promotion are now the key factors that separate a good sale from a great sale.

Immediate checklist for sellers

• Obtain a 30–90 day comparable market report from your agent (REIWA/Cotality/CoreLogic-based).
• Commission a pre-listing audit: mandatory fixes + staging plan.
• Choose a selling channel (auction/private treaty/tender) with your agent.
• Run a 7–14-day pre-listing marketing push to your agent’s buyer database.
• Prepare disclosure docs (strata, rates, insurance) to speed contract exchange.

Perth’s property market remains a haven for sellers despite easing profit margins. Limited listings, strong buyer demand, and faster sales continue to drive solid returns. With smart pricing, presentation, and Bargoti Real Estate’s expert guidance, sellers can still achieve exceptional results and confidently capitalise on current market conditions.

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