Homeowners, on average, made a 49.9% profit selling single-family homes and condos during the third quarter, up from a 49.3% profit margin in the previous quarter but down from the 55.4% average profit in the third quarter of 2024.
The profit margin is the percent difference between the median purchase price and the median resale price for homes in a given area. According to data from ATTOM, the typical third quarter home sales netted $123,100 in raw profit, up 1.9% from the previous quarter but down 3.5% from one year earlier.
Meanwhile, home prices have continued to rise – the median national sales price in the third quarter was $370,000, up 1.2% from the second quarter and up 3.4% from the third quarter of 2024. Homeowners were also waiting longer to sell their properties – an average of 8.39 years, the longest average homeownership tenure in at least 25 years and up from 8.13 years for homes sold in the previous quarter.
“Profit margins remained steady and high throughout the traditionally busier summer selling season,” said Rob Barber CEO of ATTOM. “While continuously rising prices could have chased away buyers and slackened demand, the recent dip in mortgage rates may be helping to keep more people in the market.”
